Read the report carefully and answer the questions based on the report:

On the basis of given data, the slope of the price line will be _____.

0.5

The correct answer is Option (1) → 0.5

The slope of the budget line (Note: There appears to be a mistake in question. Instead of budget line, the question has used Price Line.) represents the rate at which a consumer can trade one good for another while staying within their budget. It is calculated as the negative ratio of the price of the good on the horizontal axis to the price of the good on the vertical axis.

Slope of the budget line= - Price of Good X​/ ​Price of Good Y

Given:

• Price of Good X = ₹5 per unit

• Price of Good Y = ₹10 per unit

Slope of the budget line= - 5 / 10 = - 0.5

However, in economics, when discussing the "slope" it often refers to the absolute value of the slope, which represents the relative price or the opportunity cost of Good X in terms of Good Y.

Absolute value of slope $=|-0.5|=0.5$