Class 12 Micro Economics - Chapter Theory of Consumer Behaviour NCERT Solutions | Suppose a consumer can afford to buy 6 u

Welcome to the NCERT Solutions for Class 12th Micro Economics - Chapter Theory of Consumer Behaviour. This page offers a step-by-step solution to the specific question from Excercise ".$ex_no." , Question 8: suppose a consumer can afford to buy 6 units of go....
Question 8

Suppose a consumer can afford to buy 6 units of good 1 and 8 units of good 2
if she spends her entire income. The prices of the two goods are Rs 6 and Rs 8
respectively. How much is the consumer’s income?

Answer

P1=Rs.= 6
P2=Rs. =8
X1=6
X2=8
Budget line = M = P1X1+P2X2
M = 6 × 6 + 8×8
M = 36 ÷ 64

M = 100
Thus, the consumer’s income is Rs 100.

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