Assume the following is the Budget Equation for a consumer: 170 Tequila + 32 Vodka = 2,810 What would be the intercept of the budget line on the Tequila axis?

Explanation:

Let:

So:

This is an equation of a line. Let's represent it in its Slope–intercept form:

In order to find the intercept of the budget line on the Tequila axis, we need to evaluate the function for x=0, so:

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