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(Figure: Prune Juice and Apple Juice I) Refer to Figure

Question 127

Multiple Choice

(Figure: Prune Juice and Apple Juice I) Refer to Figure 5.8, depicting the consumer's indifference curves and budget constraints. Suppose the consumer has $20 of income to spend on apple juice and prune juice. Which of the following statement(s) is (are) TRUE? (Figure: Prune Juice and Apple Juice I) Refer to Figure 5.8, depicting the consumer's indifference curves and budget constraints. Suppose the consumer has $20 of income to spend on apple juice and prune juice. Which of the following statement(s) is (are) TRUE? I. At $2 per quart, the consumer buys 3 quarts of apple juice. II) At $4 per quart, the consumer buys 3 quarts of apple juice. III) At $1.33 per quart, the consumer buys 6 quarts of apple juice. IV) At $0.75 per quart, the consumer buys 6 quarts of apple juice. A) I and II B) II and III C) II and IV D) I I. At $2 per quart, the consumer buys 3 quarts of apple juice.
II) At $4 per quart, the consumer buys 3 quarts of apple juice.
III) At $1.33 per quart, the consumer buys 6 quarts of apple juice.
IV) At $0.75 per quart, the consumer buys 6 quarts of apple juice.


A) I and II
B) II and III
C) II and IV
D) I

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