Solved

Exhibit 6-4 Total Utility for Multiplex Tickets, Video Rentals, and Popcorn

Question 88

Multiple Choice

Exhibit 6-4 Total utility for multiplex tickets, video rentals, and popcorn  Total Utility  from Multiplex Tickets  T otal Utility  from Video Rentals  Total Utility  from Popcorn 1 movie ( 30 utils)  1 video (14 utils)  1 bag (8 utils)  2 movies (54 utils)  2 videos (24 utils)  2 bags (13 utils)  3 movies (72 utils)  3 videos (30 utils)  3 bags (15 utils)  4 movies (84 utils)  4 videos (32utils)  4 bags (16 utils)  \begin{array} { | c | c | c | } \hline \begin{array} { c } \text { Total Utility } \\\text { from Multiplex Tickets }\end{array} & \begin{array} { c } \text { T otal Utility } \\\text { from Video Rentals }\end{array} & \begin{array} { c } \text { Total Utility } \\\text { from Popcorn }\end{array} \\\hline 1 \text { movie ( } 30 \text { utils) } & 1 \text { video (14 utils) } & 1 \text { bag (8 utils) } \\2 \text { movies (54 utils) } & 2 \text { videos (24 utils) } & 2 \text { bags (13 utils) } \\3 \text { movies (72 utils) } & 3 \text { videos (30 utils) } & 3 \text { bags } ( 15 \text { utils) } \\4 \text { movies (84 utils) } & 4 \text { videos (32utils) } & 4 \text { bags (16 utils) } \\\hline\end{array}
-In Exhibit 6-4, assume the Multiplex tickets cost $6 each, video rentals cost $2 each, and bags of popcorn cost $1 each. Suppose the consumer has $12 per week to spend on multiplex tickets, video rentals, and popcorn. What combination of goods will give the consumer the most utility?


A) 1 movie, 3 videos, and no popcorn.
B) 1 movie, 2 videos, and 2 bags of popcorn.
C) 1 movie, 1 video, and 4 bags of popcorn.
D) 2 movies, no videos, and no bags of popcorn.

Correct Answer:

verifed

Verified

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

Related Questions