Table 10-3 -Refer to Table 10-3.For Steak and Cheese and Grilled Chicken

question 28

Multiple Choice

Table 10-3

-Refer to Table 10-3.For steak and cheese and grilled chicken sandwiches,the table contains the values of the marginal utility (MU) and marginal utility per dollar (MU/P) for Mabel Jarvis.Mabel has $14 to spend on steak and cheese and grilled chicken sandwiches.Which of the following statements is true?

• A)If Mabel maximizes her utility she will buy three steak and cheese sandwiches and two grilled chicken sandwiches.
• B)If Mabel was maximizing her utility when spending $14 and then received an additional $4,she would receive the most marginal utility per dollar if her next purchase was another grilled chicken sandwich.
• C)Mabel will first buy two steak and cheese sandwiches; then with her remaining $6 she will buy three grilled chicken sandwiches.
• D)To maximize her utility,Mabel will need a total of $36,the income needed to buy 6 steak and cheese sandwiches and 6 grilled chicken sandwiches.

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Definitions:

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A field of study focused on understanding how the presence of others, whether concrete, imaginary, or inferred, steers individuals' cognitive, emotional, and behavioral responses.

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