If Claudette Gets a Permanent Increase in Her Income of $1000

question 19

Multiple Choice

If Claudette gets a permanent increase in her income of $1000 per year,she saves an extra $200 this year and consumes an extra $800 this year.If the increase in income had been temporary instead of permanent,she would have saved ________ of the extra income.

• A)More than $200
• B)Less than $200
• C)Exactly $200
• D)None