Table 7-5 Table 7-5 Lists Jay's Marginal Utilities for Burgers and Pepsi

question 128

Multiple Choice

Table 7-5
$$\begin{array} { | c | c | c | c | } \hline \begin{array} { c } \text { Quantity of } \\\text { Burgers }\end{array} & \begin{array} { c } \text { Marginal } \\\text { Utility }\end{array} & \begin{array} { c } \text { Quantity of } \\\text { Pepsi }\end{array} & \begin{array} { c } \text { Marginal } \\\text { Utility }\end{array} \\\hline 1 & 20 & 1 & 30 \\\hline 2 & 14 & 2 & 10 \\\hline 3 & 10 & 3 & 7 \\\hline 4 & 3 & 4 & 5 \\\hline 5 & 1 & 5 & 1 \\\hline 6 & - 5 & 6 & 0 \\\hline 7 & - 10 & 7 & - 4 \\\hline\end{array}$$
Table 7-5 lists Jay's marginal utilities for burgers and Pepsi.Jay has $7 to spend on these two goods. The price of a burger is $2 and the price of a can of Pepsi is $1.
-Refer to Table 7-5.What is Jay's optimal consumption bundle?

• A)1 burger and 2 Pepsis
• B)2 burgers and 3 Pepsis
• C)3 burgers and 1 Pepsi
• D)3 burgers and 2 Pepsis

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