Solved

Answer the Question on the Basis of the Following Two

Question 104

Multiple Choice

Answer the question on the basis of the following two schedules,which show the amounts of additional satisfaction (marginal utility) that a consumer would get from successive quantities of products J and K. Unit of JMUj156248332424520616712Unit of KMUk13222832442051261078\begin{array}{c}\begin{array}{ccc}Unit&&\\\text { of } J & & M U_{j} \\\hline1 & & 56 \\2 & & 48 \\3 & & 32 \\4 & & 24 \\5 & & 20 \\6 & & 16 \\7 & & 12\end{array}\begin{array}{ccc}Unit&&\\\text { of } K & & M U_{k} \\\hline1 & & 32 \\2 & & 28\\3 & & 24\\4 & & 20\\5 & & 12\\6 & & 10\\7 & & 8\end{array}\end{array} Refer to the data.If the consumer has money income of $52 and the prices of J and K are $8 and $4 respectively,the consumer will maximize her utility by purchasing:


A) 2 units of J and 7 units of K.
B) 5 units of J and 5 units of K.
C) 4 units of J and 5 units of K.
D) 6 units of J and 3 units of K.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions