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# Answer to Question #21155 in Microeconomics for DK

Question #21155
7. Jane receives utility from days spent traveling on vacation domestically (D) and days spent traveling on vacation in a foreign country. (F), as given by the utility function U(D,F) = 10DF. In addition, the price of a day spent traveling domestically is $100, the price of a day spent traveling in a foreign country is$400, and Jane&rsquo;s annual travel budget is \$4000. a. Illustrate the indifference curve associated with a utility of 800 and the indifference curve associated with a utility of 1200. b. Graph Jane&rsquo;s budget line on the same graph. c. Can Jane afford any of the bundles that give her a utility of 800? What about a utility of 1200? d. Find Jan&rsquo;s utility-maximizing choice of days spent traveling domestically and days spent traveling in a foreign country.
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