Suppose a Consumer Is Spending All of His/her Income on Two

Multiple Choice

Suppose a consumer is spending all of his/her income on two goods, A and B, in a manner where MU_a = 15 and MU_b = 80, and the P_a = $5 and the P_b = $20. Then the consumer:

A) is maximizing his/her utility.
B) should increase his/her purchases of B and decrease the purchases of A.
C) should spend more money on both goods.
D) should spend less money on both goods.
E) should increase the purchases of A and decrease the purchases of B.