Margaret works as a tutor and earns $20 per hour of tutoring. She has no other source of income. a. Let L denote the leisure hours (hours spent not tutoring) per day and let I denote the daily income (total earnings) in dollars. Each day has 24 hours. Write an equation relating Land I. b. Graph the relationship between L and I with L on the horizontal axis and I on the vertical axis. Label the axes, the intercept values, and the slope of the line. c. What is Margaret's opportunity cost of leisure?

Margaret works as a tutor and earns $20 per hour of tutoring. She has no other source of income. a. Let L denote the leisure hours (hours spent not tutoring) per day and let I denote the daily income (total earnings) in dollars. Each day has 24 hours. Write an equation relating Land I. b. Graph the relationship between L and I with L on the horizontal axis and I on the vertical axis. Label the axes, the intercept values, and the slope of the line. c. What is Margaret's opportunity cost of leisure?

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Consumer Choice Theory

Section6.A: Indifference Curve Analysis

Problem 2SQP

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