Gi4ldliesmika Gi4ldliesmika
  • 07-12-2016
  • Business
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given that c=$500 + 0.8yd, if the level of disposable income is $1,000, the level of saving is a)$300. b)-$300 c)$500 d)-$1,300

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MissPhiladelphia
MissPhiladelphia MissPhiladelphia
  • 10-12-2016
If we are given with the level of saving as a function of level of disposable income:
c = 500 + 0.8 d
where d is the disposable income and it is equal to 1000. Solving for c:
c = 500 + 0.8 (1000)
c = $1300
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