Traci Consumes Two Goods,lemonade and Pretzels

question 417

Multiple Choice

Traci consumes two goods,lemonade and pretzels.Lemonade costs $1 per glass,and she consumes it to the point where the marginal utility she receives from her last glass of lemonade is 3.Pretzels cost $2 per bag.The relationship between the marginal utility Traci gets from eating a bag of pretzels and the number of bags she eats per month is as follows: If Traci is maximizing his utility,how much does she spend on potato chips each month?

• A) $2
• B) $6
• C) $8
• D) $12

---

Definitions:

Innovation

The introduction of something new, such as an idea, method, or device.

Job Design

The process of organizing tasks, duties, and responsibilities into a productive work unit to accomplish organizational goals.

Organizational Climate

The general atmosphere, culture, and morale felt by employees and the prevailing attitudes towards work and the company.

Synergistic Effect

The phenomenon where the combined effect of collaborating elements is greater than the sum of their individual effects.