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-Becky Decides to Spend $50 Per Month on DVD Rentals

Question 213

Multiple Choice

-Becky decides to spend $50 per month on DVD rentals and movie tickets. Her marginal utility schedules from these two goods are shown in the table above. The price of a DVD rental is $2.50, and the price of a movie ticket is $5. Becky maximizes her utility if she rents ________ DVDs per month and buys ________ movie tickets per month. A) 6; 7 B) 4; 8 C) 8; 6 D) 5; 7
-Becky decides to spend $50 per month on DVD rentals and movie tickets. Her marginal utility schedules from these two goods are shown in the table above. The price of a DVD rental is $2.50, and the price of a movie ticket is $5. Becky maximizes her utility if she rents ________ DVDs per month and buys ________ movie tickets per month.


A) 6; 7
B) 4; 8
C) 8; 6
D) 5; 7

Correct Answer:

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