Multiple Choice
-Lisa spends all her income on pizzas and DVDs. The above table shows Lisa's marginal utility for pizza and marginal utility for DVDs. If the price of a pizza is $10, the price of a DVD is $5, and Lisa has $40 to spend on the two goods, what combination of pizza and DVDs will maximize her utility?
A) 6 DVDs and 1 pizza
B) 4 DVDs and 2 pizzas
C) 2 DVDs and 3 pizzas
D) 5 DVDs and 4 pizzas
Correct Answer:
Verified
Correct Answer:
Verified
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