Hong is a student who receives a weekly stipend of 800 to pa

Hong is a student who receives a weekly stipend of $800 to pay for all her needs. After tuition and residence, however she has little left over. She is considering taking on a part time job at $12.00 per hour. She figures she needs 60 hours of sleep per week and 80 hours per week to attend class and study, leaving 28 hours to divide between work and leisure. a) Hong\'s budget line has an endowment point at (0,28) b) Hong\'s budget line has an endowment point at (0,1136) c) Hong\'s budget line has an endowment point at (28,800) d) Hong\'s budget line has an endowment point at (28,0)

Solution

Ans

B is right answer. By working all 28 hours he will get=28(12)=336.Now by working all hours and having 0 leisure his endowment is 800+336=1136