Answer:
1) [tex]C(0) = 9[/tex]
2) [tex]C(50) =41.5[/tex]
3) [tex]C(100) =74[/tex]
Step-by-step explanation:
Given : A certain economy's consumption function is given by the equation [tex]C(x) = 0.65x + 9[/tex]
where, C(x) is the personal consumption expenditure in billions of dollars, and x is the disposable personal income in billions of dollars.
To find :
1) C(0)
Put x=0 in the given equation,
[tex]C(0) = 0.65(0)+ 9[/tex]
[tex]C(0) = 9[/tex]
2) C(50)
Put x=50 in the given equation,
[tex]C(50) = 0.65(50)+ 9[/tex]
[tex]C(50) =32.5+9[/tex]
[tex]C(50) =41.5[/tex]
3) C(100)
Put x=100 in the given equation,
[tex]C(100) = 0.65(100)+ 9[/tex]
[tex]C(100) =65+9[/tex]
[tex]C(100) =74[/tex]
