A consumer has $40 in budget to purchas goods X and Y. Assume Px = 1 and Py = 3. She has a coupon that allows her to buy-one-get-one-free For up to 5 units of X. What is the maximum amount of X that she can buy?

A consumer has $40 in budget to purchas goods X and Y. Assume Px = 1 and Py = 3. She has a coupon that allows her to buy-one-get-one-free For up to 5 units of X. What is the maximum amount of X that she can buy?

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Consumer Choice Theory

Section: Chapter Questions

Problem 5SQP

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Question

A consumer has $40 in budget to purchas goods X
and Y. Assume Px = 1 and Py = 3. She has a
coupon that allows her to buy-one-get-one-free
for up to 5 units of X. What is the maximum
amount of X that she can buy?

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