The Figure Below Shows a Consumer Maximizing Utility at Two

question 31

Multiple Choice

The figure below shows a consumer maximizing utility at two different prices (the left panel) and the consumer's demand for good X at the same two prices of good X (the right panel) .The price of good Y is $4.50.At point B on indifference curve I,the MRS is _____ and _____ units of good X are purchased.

• A)3/10; 5
• B)3/10; 6
• C)3/10; 8
• D)10/3; 5
• E)10/3; 6

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Definitions:

Internal Service Funds

Funds used by a government entity to account for the services provided by one department to other departments on a cost-reimbursement basis.

Enterprise Funds

Governmental accounting funds used to account for operations financed and operated in a manner similar to private business enterprises, where the intent is that the costs are financed primarily through user charges.

Non-Exchange Transactions

Transactions where an entity receives value without directly giving equivalent value in exchange, often seen in grants, donations, and government assistance.

Derived Tax Expenditures

Derived tax expenditures refer to the revenue losses that result from tax provisions allowing certain taxpayers to reduce their tax owed through deductions, exclusions, or exemptions based on specific activities or investments.