Draw budget line, Financial Econometrics

Mary has a weekly allowance of $24 to spend on soda and coffee.  Let 40 cups be the maximum amount of soda she can buy for the money.  Let $.40 be the price of 1 cup of coffee.  Assume that regardless of prices Mary always prefers to consume coffee and soda in one-for-one combinations, i.e. a cup of soda with each cup of coffee. Draw Mary's budget line and her indifference curves.  Determine her best choice.

Posted Date: 4/1/2013 3:41:44 AM | Location : United States







Related Discussions:- Draw budget line, Assignment Help, Ask Question on Draw budget line, Get Answer, Expert's Help, Draw budget line Discussions

Write discussion on Draw budget line
Your posts are moderated
Related Questions
Question : (a) Why OLS cannot be applied in the presence of simultaneous equation bias? b) i) Prepare a simultaneous equation model for the supply and demand of dentist in

Determine whether the proposed investment in Gujistan satisfies the investment criteria set by PASE plc. Also discuss the limitations of the criteria in the context of this project

The Citilink Bus Company ("Citilink") was established in 2000 to operate a bus service across a city with 1 million inhabitants. The bus company was created by an indigenous busin

a rural population (given in thousands) is thought to decline according to the equation p=15e^(-0.1t). if t=0 at the beginning of 1998. calculate the numbers in the population at t

analysis of bond rate parity among india and usa of last 10-15 years

What are the four basic elements found in all economic system?

Below is information about the spot and forward rates for three currencies against the US dollar (USD): (a) Critically discuss the interest rate parity and covered interest

I need help on few questions related to quantitative finance. Could you help me out in those.

An entity's working capital financing policy is to finance working capital using short-termfinancing to fund all the fluctuating current assets as well as some of the permanent par

Financing Throughout the life of this Company, Dwight is proud of the fact that he has never before required any outside financing--other than his line of credit. The line of