Sara's Sensible Critters Makes Two Kinds of Catnip Toys: Balls

question 34

Multiple Choice

Sara's Sensible Critters makes two kinds of catnip toys: balls (x₁) and mice (x₂) . The relationship between demand and price for balls and mice is:
x₁ = 1800 - 150p₁
x₂ = 1500 - 300p₂
The cost for a catnip ball is $2 and for the mouse, $3.
Sara has only 200 ounces of catnip on hand. A ball uses a tenth of an ounce and a toy mouse uses one-quarter of an ounce.
-Write the appropriate expression for the demand constraint.

• A) 2.5x₁ = x₂
• B) x₁ - 2.5x₂ ? 0
• C) x₁ + 2.5x₂ ? 0
• D) x₁ = 2.5x₂

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Definitions:

Apparent Agency

An agency relationship created by operation of law when one party, by his actions, causes a third party to believe Experiential Element

Insolvency

A financial state where an individual or entity cannot meet their debt obligations as they become due.

Fiduciary

A person or organization that acts on behalf of another person or persons, putting their clients' interest ahead of their own, with a duty to preserve good faith and trust.

Agency Relationship

The association between one party and an agent who acts on behalf of that party.