If Goldie Chooses the Bundle (6, 6)when Prices Are ($6

question 52

Multiple Choice

If Goldie chooses the bundle (6, 6) when prices are ($6, $2) and the bundle (10, 0) when prices are ($2, $5) ,

• A)the bundle (6, 6)is revealed preferred to (10, 0)but there is no evidence that she violates WARP.
• B)neither bundle is revealed preferred to the other.
• C)Goldie violates WARP.
• D)the bundle (10, 0)is revealed preferred to (6, 6)and she violates WARP.
• E)the bundle (10, 0)is revealed preferred to (6, 6)and there is no evidence that she violates WARP.

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Definitions:

Wasted Capacity

Resources or facilities that are underused or not used to their full potential, leading to inefficiency and lost productivity.

Production Margin

The difference between the production cost and the selling price of products, representing the profitability.

Revenue Management

The use of data analytics to forecast consumer demand and optimize product availability and pricing to maximize revenue.

Supply Chain Assets

Resources owned or controlled by a supply chain that contribute to manufacturing, delivering, and selling products, including facilities, equipment, and inventory.