Use the Following to Answer Questions

question 30

Multiple Choice

Use the following to answer questions :
Figure: Davina's Labour Supply Choice
-(Figure: Davina's Labour Supply Choice) The figure Davina's Labour Supply Choice shows Davina's time allocation budget line when her hourly wage is $10 or $15 and she has 80 hours to allocate between labour and leisure;it also shows two of her indifference curves for income and leisure.When Davina earns $10 per hour,she works _____ hours and enjoys _____ hours of leisure.

• A) 20;60
• B) 30;50
• C) 40;40
• D) 50;30

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Definitions:

Holding-Period Return

The return on an investment over the period it is held, incorporating both income and capital gains.

Dividend

A distribution of profits by a corporation to its shareholders, often in the form of a payment.

Expected Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of expected values, often used to quantify the risk associated with a particular asset or investment.

Probability Distribution

A mathematical function that describes the likelihood of obtaining the possible values that a random variable can assume.