Question

A consumer is consuming at a point on her budget line. Her income is $50 a week, and she purchases hamburgers and grilled cheese sandwiches. Hamburgers cost $4, and she consumes 10 of them. She consumes eight grilled cheese sandwiches. How much do grilled cheese sandwiches cost?

Answer 1

Answer:

Each grilled cheese costs $1.25

Explanation:

Giving the following information:

Her income is $50 a week. Hamburgers cost $4, and she consumes 10 of them. She consumes eight grilled cheese sandwiches.

To calculate the price of the grilled cheese sandwiches, we need to use the following equation:

Income= cost of hamburgers*number of units + cost of grilled cheese*number of units

50= 4*10 + x*8

10=8x

$1.25= x= grilled cheese