What Is the Slope of the Price Consumption Curve for Two

question 87

Multiple Choice

What is the slope of the price consumption curve for two goods,x and y,when preferences are measured by the utility function U(x,y) = x^0.5y^0.5,the price of good y is $10,income equals $100,and the price of good x increases from $5 to $10?

• A) Slope equals zero.
• B) Slope is infinite.
• C) Slope is -
• D) Slope is

---

Definitions:

Unit Sales

The total quantity of items sold by a business within a specific period.

Cash Sales

Transactions in which goods or services are paid for at the time of sale with cash or its equivalent, without credit.

Credit Sales

Sales made on credit, allowing customers to purchase goods or services immediately and pay for them at a later date.

Accounts Receivable

Amounts owed to a business by its customers from sales or services provided on credit.