Total Utility Is Maximized in the Consumption of Two Goods

question 75

Multiple Choice

Total utility is maximized in the consumption of two goods by

• A)equating the marginal utility for each good consumed.
• B)equating the marginal utility per dollar spent for each good consumed.
• C)equating the total utility of each good divided by its price.
• D)maximizing expenditure on each good.

---

Definitions:

Income Tax Payable

The amount of income tax a company or individual owes to the government but has not yet paid.