Dane Consumes Both Hamburgers and Pizza

question 46

Multiple Choice

Dane consumes both hamburgers and pizza.Suppose the formula for his indifference curves is H = U - 2 P,where H stands for the number of hamburgers,P stands for the number of pizzas,and U represents utility.Which of the following statements is true?

• A) Dane prefers a consumption bundle with 5 hamburgers and 4 pizzas to a consumption bundle with 10 hamburgers and 2 pizzas.
• B) Dane prefers a consumption bundle with 8 hamburgers and 3 pizza to a consumption bundle with 14 hamburgers and 1 pizzas.
• C) Dane is indifferent between a consumption bundle with 10 hamburgers and 2 pizzas and a consumption bundle with 8 hamburgers and 3 pizzas.
• D) Dane is indifferent between a consumption bundle with 5 hamburgers and 4 pizzas and a consumption bundle with 8 hamburgers and 3 pizzas.

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