Monifa plans to spend her income on concert tickers and movie tickets.

Suppose that she has an income of $100. The price of a concert ticket

is $20, and the price of a movie ticket is $10.

(a) Draw and carefully label a budget line diagram illustrating the

consumption combinations that she can afford.

(b) Can she afford 6 movie tickets and 1 concert ticket. Label this

point 'B' on your graph.

(c) Can she afford 2 movie tickets and 6 concert ticket. Label this

point 'C' on your graph.

(d) Can she afford 4 movie tickets and 3 concert ticket. Label this

point 'D' on your graph.

(e) Which of the combinations mentioned just uses up all her income?

(f) Suppose that Monifa's income rises to $120, add the new budget

line and a label to the previous paragraph.

(g) Now, suppose that Monifa's income stays at $100, but the price

of concert tickets drops from $20 to $12.50. Add the new budget

line and a label to the previous paragraph.

(h) Can Monifa afford 2 movie tickets and 6 concert tickets after the

price drop?