A consumer chooses between sandwiches and pizza, with pizza on the horizontal axis and sandwiches on the vertical axis. If a pizza costs Rs10 and a sandwich costs Rs5, what is the slope of the budget constraint?
Correct answer B. 2
Explanation
The budget line's slope equals the price of the horizontal-axis good divided by the price of the vertical-axis good. Rs10 divided by Rs5 gives 2 sandwiches given up per pizza.
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