The Following Graph Shows the Marginal Utility Derived from Milk

Multiple Choice

The following graph shows the marginal utility derived from milk and giant cookies purchased by Sandeep.

-Refer to the above graph to answer this question.If the price of milk is $2,the price of a cookie is $1 and Sandeep has a budget of $7,how many will he purchase if he wishes to maximize his total utility?

A) 0 milk and 7 cookies.
B) 1 milk and 5 cookies.
C) 2 milk and 3 cookies.
D) 3 milk and 1 cookie.
E) 3 milk and 4 cookies.