Question

In: Economics

Which one of the following statements about the budget line is false? The budget line is...

Which one of the following statements about the budget line is false? The budget line is based on fixed income.

A is based on fixed prices.

B Is based on fixed quantities.

C separates affordable consumption points from unaffordable consumption points.

D constrains consumer choices.

Solutions

Expert Solution

Answer: correct answer is B based on fixed quantities .

Budget line is a locus of the various combination of two commodities which can be purchased with given money income and price of the commodity. So that price of the goods can be equivalent to the available income with consumers.and he get the maximum satisfaction. All other option can not be false because consumer have the set of available choices, he can choose. With given money income and prices.


Related Solutions

Which one of the following statements about brown dwarfs is false? (a) A brown dwarf is...
Which one of the following statements about brown dwarfs is false? (a) A brown dwarf is in hydrostatic equilibrium. (b) A brown dwarf is less massive than a normal star. (c) A brown dwarf shines primarily at infrared wavelengths. (d) A brown dwarf’s diame-ter is at least 13 times that of Jupiter. (e) Unlike a planet, a brown dwarf does produce energy through nuclear fusion, at least for a short time.
Which of the following statements about sexual reproduction in fungi is false? Select one: a. Motile...
Which of the following statements about sexual reproduction in fungi is false? Select one: a. Motile gametes are present in all fungal species. b. An aquatic environment is not required for fertilization to occur in most fungi. c. There is no true diploid tissue in the life cycle of most sexually reproducing fungi. d. Sexual reproduction often begins with contact between hyphae of different mating types. e. Alternation of generations and sexual reproduction can occur in the same species.
86.   Which one of the following statements about carbohydrate fermentation tests is false?                         &nbs
86.   Which one of the following statements about carbohydrate fermentation tests is false?                                 A. The carbohydrate fermentation broths contain the pH indicator phenol red.                                          B. Bacteria that grow by fermenting a sugar usually excrete some acidic waste product                                        C. If the bacterium cannot use the sugar in the carbohydrate fermentation broth, they can’t grow in that medium                                                                                                                                                                   D. The carbohydrate fermentation broths contain a Durham tube to detect gas production.                          87. Which of the following is incorrect about...
Which one of the following statements is false? Differences in human capital account for about half...
Which one of the following statements is false? Differences in human capital account for about half of the wages differences between whites and blacks. Differences in education are not nearly as pronounced for gender groups as they are for race. No wage discrimination between men and women remains once one accounts for differences in human capital, occupational segregation, and work experience. Earnings tend to rise with human capital investment. On average, women make less than men with similar education levels...
Which of the following statements about protists is FALSE (pick one). A. They range from unicellular...
Which of the following statements about protists is FALSE (pick one). A. They range from unicellular to large multicellular organisms, but without highly differentiated tissues. B. Some lack cell walls and move using amoeboid motions. C. While it was originally thought that some protists evolved before the endosymbiosis event that provided eukaryotes with mitochondria, it is now thought that these lineages had mitochondria but lost them. D. Some construct hard, long-lasting “shells” using calcium carbonate or cellulose. E. There are...
Which of the following statements about receptor potentials is FALSE?
Which of the following statements about receptor potentials is FALSE? A. They are changes in the resting membrane potential of a sensory cell in response to a stimulus. B. The receptor potential spreads from the cell body of a sensory cell to the axon hillock, where action potentials can be generated C. One receptor potential always prompts the release of a neurotransmitter that induces an associated neuron to generate an action potential. D. They must be converted into action potentials...
Which of the following statements about the nuclear envelope is FALSE?
Which of the following statements about the nuclear envelope is FALSE? A. It is composed of two membranes (a double membrane) B. Unlike other membranes in the cell, it primarily consists of complex polysacchrides such as cellulose C. It is supported by a cytoskeletal network known as nuclear lamina D. It contains pores for the passage of large molecules E. It contains the chromosomal DNA of eukaryotic cells  
Which of the following statements about codes of conduct is false? -They are formal statements of...
Which of the following statements about codes of conduct is false? -They are formal statements of what an organization expects of its employees. -They guarantee an ethical business climate. -They help employees determine what behaviors are acceptable. -They provide rules and guidelines for employees to follow. -They should be specific enough to be reasonably capable of preventing misconduct. ____________________________________________________________________________________________________ While ideally the board of directors financial audit committee conducts ethics audits, in most firms they are conducted by: -managers or...
Which of the following statements is false with respect to the selling and administrative expense budget?...
Which of the following statements is false with respect to the selling and administrative expense budget? Multiple Choice It includes depreciation expense even though it is not a cash flow. It estimates the cash disbursements for selling and administrative expenses that appear in the cash budget. It includes estimated variable and fixed selling and administrative expenses. It impacts the budgeted cost of goods sold reported on the income statement.
Which of the following statements about prices is false? Select one: a. A variable cost-plus pricing...
Which of the following statements about prices is false? Select one: a. A variable cost-plus pricing formula requires a higher mark-up percentage than a total cost-plus pricing formula. b. Prices must cover all costs and a normal profit margin. c. If prices are set close to variable manufacturing costs, the firm will generally earn a higher profit margin. d. Different definitions of cost base, each combined with a different mark-up percentage, will result in the same price for a product...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT