What is the budget line for consumption (C) and leisure (L) if a person faces a constant wage of $10 per hour, there are 112 hours in the week to work, and she receives nonlabor income of $220 per week

C + 10L = 1340

Explanation:

Given that the Budget line is a term in economics that is used to describe or represent all possible combinations of two goods which can be acquired by a consumer considering the income and prices in a given time.

It is carried out in a way that the cost of any of the combinations matches the capital income of that particular consumer.

Hence, in this case, the combination of both labor income and no labor income is

=> ($10 * 112hr) + $220 = 1,340

Therefore, the budget line is C + 10L = 1340

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