A consumer has $20 per week available to spend as she wishes on commodities A and B.She is currently spending all her money; the prices of these commodities, the quantities she now buys, and her evaluation of the utility provided by these quantities are as follows: For maximum satisfaction, this consumer should (assuming she can buy fractions of units of A and B):
A)buy less of A, more of B.
B)buy same quantity of A, more of B.
C)buy more of A, less of B.
D)buy more of A, same quantity of B.
E)do nothing, being already at best possible position.

Question

A consumer has $20 per week available to spend as she wishes on commodities A and B.She is currently spending all her money; the prices of these commodities, the quantities she now buys, and her evaluation of the utility provided by these quantities are as follows:  For maximum satisfaction, this consumer should (assuming she can buy fractions of units of A and B):
A)buy less of A, more of B. 
B)buy same quantity of A, more of B. 
C)buy more of A, less of B. 
D)buy more of A, same quantity of B. 
E)do nothing, being already at best possible position.

Quizplus · Accepted Answer

The Answer is C

A Consumer Has $20 Per Week Available to Spend as She