For the Questions , Assume James Purchases Only Two

Multiple Choice

For the questions , assume James purchases only two goods, steak and chicken, with his weekly income of $60. The price of steak is $10 and the price of chicken is $5. The following table shows the marginal utility James obtains from each additional pound of steak and chicken:

$$\begin{array} { l ccc} \text { Quantity } & \begin{array} { l } \text { Marginal utility of } \\\text { steak }\end{array} & \begin{array} { c } \text { Marginal utility of } \\\text { chicken }\end{array} & \\\hline 1 & 70 & 50 \\2 & 60 & 40 & \\ 3 & 50 & 30 & \\4 & 40 & 20 & \\5 & 32 & 10 &\end{array}$$
-What quantities of steak and chicken should James purchase to maximize his utility?

A) 3 steak, 2 chicken
B) 5 steak, 2 chicken
C) 4 steak, 4 chicken
D) 2 steak, 5 chicken
E) none of the above