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Sandra uses two mobile cell phones( a digicel and a lime phone), to make her monthly calls. Sandra budget only $7000 on telephone calls per month and the cost per minute for digicel and lime are $5.00 and $7.00 respectively. a. Write down the algebraic equation for Sandra's budget constraint. b. Graph then Sandra's budget constraint. ( the budget constraint intercepts should be shown clearly on the graph) c. How will an increase in the cost per minute for digicel call affect the budget line's y_intercept, x-intercept and the slope?

Mathematics
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a) 7000 = 5x + 7y , where x is digicel and y is lime
i had that for a and i thought mine was wrong, now im understanding :)
it could be 7000 > 5x + 7y

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Other answers:

because she can't go over but can be under
oh i get it
bcuz the 7000 is her budget
so wat about part b and c
part b is asking for a budget constraint line and part be also said equation for budget restraint. I would put 7000 = 7x + 5y as the answer for part a because that is the restraint line. Something that she can't go over
part b is kinda difficult. You should solve for y so the equation is in y = mx + b form then you can graph it. label your axis according to what cell phone. So if we solve for y, the y axis will be the lime phone
part c I would just pick an increased amount for the cost per minute. graph that as well, and you should easily be able to see the differences from there
let me know what you got solving for y or x and I'll check you. You should be fine from there
oh im not good at graphs thats why i need the help
ok i got y=1000 and x=1400
so those are the intercepts, What is the equation?
|dw:1351254063633:dw|
is it that?
7000 = 5x + 7y 7000 - 5x = 7y 1000 - (5/7)x = y The graph looks correct.
lets change the cost of digicel to 10 for easy math sake
7000 = 10x + 7y (0,1000) (700,0)
|dw:1351258124097:dw|
So what do you think the answers are for c
i think that as the cost per minute for digicel increase then the budget line will become steeper, is it?
Because the x and y can easily be switched between the diff cell phones make sure you are stating your assumption of what x and y are along the way. You shouldn't be wrong because it doesn't say what each should be. That is correct. Technically it gets more negative. laymen's term steeper. What about the intercepts?
ok thanks i knw what u mean but im not sure how to explain it in terms of intercepts.
Look at the lime intercept of the 2 graphs. Do they change? same for the digicel, do they change
ok the y axis which is lime does not change but the x axis which is digicel changes when price increase, im trying to answer
correct for lime, it stays the same. How does the digicel change
the digicel changes because there was an increase in the cost.
correct but in what way does it change? That is how you need to answer this question
increase of decrease
or**
oh the x intercept decreases
right. Good job and good luck
omg thank u so much, im understanding so much better now
What are your other questions?
do u have an email address, its in a word document
wow that assignment is awful
i know right, and its like we have to research it because they haven't though us as yet
taught*
is this due on monday? If this my my assignment I'd be all over google. Even copy and past questions in. Sometimes you get lucky.
I took econ 3 years ago. I can't remember the other questions sry.
ok
thanks anyway

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