Gabriel has a budget of $100 and is currently buying 15 boxes of chocolates for $2 each and four bouquets of flowers for $10 each. His marginal utility of the 15th box of chocolate is 30 utils, and his marginal utility of the fourth bouquet of flowers is 45 utils. Which of the following explains why this is not an optimal consumption of chocolates and flowers?
A) His marginal utility per dollar spent is greater on flowers than chocolate.
B) His marginal utility per dollar spent is greater on chocolate than flowers.
C) He is not spending all of his budget.
D) He is spending more than his budget.

Question

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The Answer of Gabriel has a budget of $100 and is currently buying 15 boxes of chocolates for $2 each and four bouquets of flowers for $10 each. His marginal utility of the 15th box of chocolate is 30 utils, and his marginal utility of the fourth bouquet of flowers is 45 utils. Which of the following explains why this is not an optimal consumption of chocolates and flowers?
A) His marginal utility per dollar spent is greater on flowers than chocolate.
B) His marginal utility per dollar spent is greater on chocolate than flowers.
C) He is not spending all of his budget.
D) He is spending more than his budget.

Gabriel Has a Budget of $100 and Is Currently Buying