Post Utme Abu 2019 Commerce Question 33

Practice objective / multiple choice question 33 from the 2019 Post Utme Abu Commerce examination.

Post Utme Abu 2019 Commerce Objective / Multiple Choice
Question 33 POST_UTME_ABU • 2019 • COMMERCE • objective

A consumer has a budget constraint of 100, and the prices of two goods are 5 and 10, respectively. If the consumer's indifference curves are convex to the origin, which of the following statements is true?

Answer Options

A. The consumer will consume only one good.
B. The consumer will consume both goods in equal quantities.
C. The consumer will consume more of the good with the higher price.
Correct Answer D. The consumer will consume more of the good with the lower price.
Correct Answer
D
Correct Option:
The consumer will consume more of the good with the lower price.

About This Question

This is Post Utme Abu 2019 Commerce Question 33. It is one of the objective questions from the 2019 Post Utme Abu Commerce examination.

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