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Tommy Buys Only Soda and Pizza and Is Buying the Amounts

Question 161

Multiple Choice

Tommy buys only soda and pizza and is buying the amounts that maximize his utility. The marginal utility from a soda is 5 and the price of a soda is $1. The marginal utility from a slice of pizza is 10. The price of a slice of pizza must be


A) $10.
B) $2.
C) $1.
D) some amount that cannot be calculated without more information.

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