Direction: Answer the following questions on the basis of the information below.
The government of an island nation is in the process of deciding how to spend its limited income. It has $7 million left in its budget and eight programs to choose among. There is no provision in the constitution to have a surplus, and each program has requested the minimum amount they need; in other words, no program may be partially funded. The programs and their funding requests are:
- Hurricane preparedness: $2.5 million
- Harbor improvements: $1 million
- School music program: $0.5 million
- Senate office building remodeling: $1.5 million
- Agricultural subsidy program: $2 million
- National radio: $0.5 million
- Small business loan program: $3 million
- International airport: $4 million
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Senators from urban areas are very concerned about assuring that there will be funding for a new international airport. Senators from rural areas refuse to fund anything until money for agricultural subsidies is appropriated. If the legislature funds these two programs, on which of the following could they spend the rest of the money?
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- the school music program and national radio
- hurricane preparedness
- harbor improvements and the school music program
- small business loan program
- national radio and senate office building remodeling
- the school music program and national radio
Correct Option: A
According to given question ,
The total cost of the school music program and national radio is $1 million, the amount left after the international airport and agricultural subsidies are funded.
