The Following Figure Displays John's Budget Constraint When He Spends

question 76

Multiple Choice

The following figure displays John's budget constraint when he spends his income on tables and chairs.

-Refer to the figure above.Which of the following statements is true?

• A) The opportunity cost of buying one chair is 5 tables.
• B) The price of tables is more than the price of chairs.
• C) The opportunity cost of buying tables increases as more tables are bought.
• D) The opportunity cost of buying one table is 7 chairs.

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