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In her communications course, Nancy also takes two examinations. Her overall grade for the course will be the maximum of her scores on the two examinations. Nancy decides to spend a total of 400 minutes studying for these two examinations. If she spends m1 minutes studying for the first examination, her score on this exam will be x1 = m1/5. If she spends m2 minutes studying for the second examination, her score on this exam will be x2 = m2/10. (a) On the graph below, draw a “budget line” showing the various combinations of scores on the two exams that she can achieve with a total of 400 minutes of studying. On the same graph, draw two or three “indifference curves” for Nancy. On your graph, find the point on Nancy’s budget line that gives her the best overall score in the course. (b) Given that she spends a total of 400 minutes studying, Nancy will maximize her overall score by achieving a score of _____ on the first examination and ___ on the second examination. (c) Her overall score for the course will then be _____.
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