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topjm [15]
3 years ago
5

given that c=$500 + 0.8yd, if the level of disposable income is $1,000, the level of saving is a)$300. b)-$300 c)$500 d)-$1,300

Business
1 answer:
jarptica [38.1K]3 years ago
5 0
If we are given with the level of saving as a function of level of disposable income:
c = 500 + 0.8 d
where d is the disposable income and it is equal to 1000. Solving for c:
c = 500 + 0.8 (1000)
c = $1300
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