Refer to the Following Graph

question 59

Multiple Choice

Refer to the following graph:
The price of X is $20 and the price of Y is $40.

-If U₁ is the highest level of utility the consumer can achieve, what is the consumer's income?

• A) $ 480
• B) $ 600
• C) $ 800
• D) $1,200
• E) none of the above

---

Definitions:

Income Tax Rate

The share of income that is taxed from an individual or a business entity.

Initial Investments

The initial capital outlay required to start a project, purchase an asset, or launch an investment, often considered in decision-making processes.

Working Capital

A financial metric representing the difference between a company's current assets and current liabilities, indicative of its operational liquidity.

Income Tax Expense

The amount of money a company owes in taxes based on its taxable income for a given fiscal period.