Solved

Danny Has $12 to Spend on Two Goods: Pies and Pop.The

Question 4

Multiple Choice

Danny has $12 to spend on two goods: pies and pop.The price of a pie is $4,and the price of a can of pop is $2.To maximize his utility,Danny buys


A) 2 pies and 2 cans of pop.
B) 3 pies and no pop.
C) the combination that gives him the same marginal utility per dollar on pies as on pop.
D) 6 cans of pop and no pie.
E) the combination that gives him the same total utility from pies as from pop.

Correct Answer:

verifed

Verified

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

Related Questions