Charlie consumes apples (xA) and bananas (xB). Both are measured in pounds. Charlie has

income of $15 to spend on those goods. The price of apples per pound is $3 and the price of

bananas per pound is $1.

If Charlie buys more than 4 pounds of apples, then he gets a price discount on apples. To be

precise, for any xA > 4 he purchases, the price becomes $1.50 per pound.

Draw his budget line in the diagram below.