Use the Information Below to Answer the Following Questions

question 58

Multiple Choice

Use the information below to answer the following questions.
Fact 9.3.1
Marc has an income of $20 and spends it on two goods,root beer (measured on the vertical axis) and chips (measured on the horizontal axis) .The price of root beer is $1 a can.The price of chips is $0.50 a bag.Initially,Marc chooses to consume 10 cans of root beer and 20 bags of chips.Then the price of root beer rises to $1.50 per can and the price of chips falls to $0.25 a bag.
-Refer to Fact 9.3.1.When the price of a bag of chips falls,Marc

• A)will consume more beer,more chips,and be better off.
• B)will consume less beer,more chips,and be better off.
• C)will consume less beer,more chips,and be worse off.
• D)will consume less beer,less chips,and be worse off.
• E)will consume more beer,less chips,and be better off.

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Definitions:

Treasury

Refers to the government department responsible for managing the revenue, spending, and overall financial policies of a country. It can also refer to the corporate division dealing with financial and liquidity management in a company.

Voting Rights

The rights of shareholders to vote on corporate matters, such as electing the board of directors or approving corporate policies.

Dividends Per Share

The amount of dividends that are paid out per share of a company's stock.