a) Suppose Jim consumes two products x and y. Jim’s budget constraint is given by the equation: $9x + $3y = $4 (i) If Jim decides to spend his entire budget on product y, how many units of y will Jim be able to purchase? Explain your answer. (ii) Calculate the slope of Jim’s budget line. Explain your answer (iii) Suppose Jim’s budget increases to $27. Measuring product x on X-axis and product y on the Y-axis, draw Jim’s budget line. You must completely label your diagram. b) At the beginning of 2021, Jim had $50,000 in two of his bank accounts, each of which paid interest annually. The interest rates were 4% and 6% per annum, respectively. If Jim has made no withdrawals during the year and has earned a total of $2,750 interest, what was the initial balance in each of his two accounts?
a) Suppose Jim consumes two products x and y. Jim’s budget constraint is given by the equation: $9x + $3y = $4
(i) If Jim decides to spend his entire budget on product y, how many units of y will Jim be able to purchase? Explain your answer.
(ii) Calculate the slope of Jim’s budget line. Explain your answer
(iii) Suppose Jim’s budget increases to $27. Measuring product x on X-axis and product y on the Y-axis, draw Jim’s budget line. You must completely label your diagram.
b) At the beginning of 2021, Jim had $50,000 in two of his bank accounts, each of which paid interest annually. The interest rates were 4% and 6% per annum, respectively. If Jim has made no withdrawals during the year and has earned a total of $2,750 interest, what was the initial balance in each of his two accounts?
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