Lily Wants to Maximize Her Benefit of Consuming Apples and Bananas,given

question 167

Multiple Choice

Lily wants to maximize her benefit of consuming apples and bananas,given her fixed budget of $10 for these two fruits.The price of an apple is $1,and the price of a banana is $0.50.In order to derive Lily's demand curve for bananas,we need to ________.

• A) solve the buyer's problem for her once, and find the optimal number of bananas, when price of a bananas is $0.50
• B) solve the buyer's problem for her multiple times and find the optimal number of bananas, when price of a bananas is at a different level each time
• C) draw a downward sloping line with slope of -1
• D) draw a downward sloping line with slope of -2

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Definitions:

Defendant

A person, business, or organization being charged or sued in a legal court.

Monetary Compensation

Monetary compensation is financial payment received by an individual or group for services rendered, losses incurred, or as a reward for performance.

Service of Process

The procedure by which a party to a legal action gives an appropriate notice of initial legal action to another party (such as a defendant), court, or administrative body.

Summons

A legal document issued by a court and addressed to a defendant that notifies him or her of the lawsuit and how and when to respond to the complaint. A summons may be used in both civil and criminal proceedings.