Answer the question on the basis of the following two schedules, which show the amounts of additional satisfaction (marginal utility) that a consumer would get from successive quantities of products J and K. Units of JMUjUnits of KMUk15613224822833232442442052051261661071278 If the consumer has money income of $52 and the prices of J and K are $8 and $4 respectively, the consumer will maximize her utility by purchasing Multiple Choice 3 units of J and 7 units of K. 5 units of J and 5 units of K. 4 units of J and 5 units of K. 6 units of J and 3 units of K.

Here Income of a consumer, and prices of J and K is given. Usi g the given information, a consumer's…

Answered: Units of J MUj Units of K MUk 1 56 1 32…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Answer the question on the basis of the following two schedules, which show the amounts of additional satisfaction (marginal utility) that a consumer would get from successive quantities of products J and K.

Units of J	MU_j	Units of K	MU_k
1	56	1	32
2	48	2	28
3	32	3	24
4	24	4	20
5	20	5	12
6	16	6	10
7	12	7	8

If the consumer has money income of $52 and the prices of J and K are $8 and $4 respectively, the consumer will maximize her utility by purchasing

Multiple Choice

3 units of J and 7 units of K.
5 units of J and 5 units of K.
4 units of J and 5 units of K.
6 units of J and 3 units of K.

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