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If You Have an Income of $40 to Spend, Commodity

Question 11

Multiple Choice

If you have an income of $40 to spend, commodity 1 costs $2 per unit, and commodity 2 costs $10 per unit, then the equation for your budget line can be written


A) x1 + 5x2 = 20.
B) x1/2+x2/10 = 40.
C) (x1 + x2) /12 = 40.
D) 3x1 + 11x2 = 41.
E) 12(x1 + x2) = 40.

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