Lines That Represent Bundles of Inputs That Cost the Same

question 3

Multiple Choice

Lines that represent bundles of inputs that cost the same total amount are called:

• A) total cost curves.
• B) isocost curves.
• C) cost curves.
• D) isoquants.
• E) isoprofit curves.

---

Definitions:

Treasury Bills

Short-term government securities issued at a discount from the par value and pay no interest, maturing in a year or less.

Portfolio

A collection of investments held by an individual or institution, which may include stocks, bonds, real estate, and other financial assets.

Indifference Curves

Graphical representations in economics showing different bundles of goods between which a consumer is indifferent, reflecting preferences of equal utility.

Budget Line

A graphical representation of all possible combinations of two goods that an individual can afford to purchase with a given budget, at given prices.