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Suppose a Consumer Has an Income of $800 Per Month

Question 236

Multiple Choice

Suppose a consumer has an income of $800 per month and that she spends her entire income each month on beer and bratwurst. The price of a pint of beer is $5, and the price of a bratwurst is $4. Which of the following combinations of beers and bratwursts represents a point that would lie to the exterior of the consumer's budget constraint?


A) 160 beers and 200 bratwursts
B) 40 beers and 50 bratwursts
C) 80 beers and 100 bratwursts
D) 160 beers and 0 bratwursts

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