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Suppose the Marginal Utility of a Unit of Good X

Question 144

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Suppose the marginal utility of a unit of Good X = MUx,the marginal utility of a unit of Good Y = MUy,Px = the price of a unit of Good X,and Py = the price of a unit of a Good Y.A utility-maximizing consumer who purchases two goods,X and Y,allocates her budget in such a way that _____


A) MUx = MUy.
B) TUx = TUy.
C) MUx/Py = MUy/Px.
D) TUx/Py = TUy/Px.
E) MUx/Px = MUy/Py.

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