Jonathan spent $10 buying sports drinks each week,and his preference is given by a utility function U = 10 × (2Q₀
+ QG),where Q₀
is the bottles of orange drink he consumes and QG is the bottles of grape drink he consumes.
a.If the price of orange drink is $1 and grape drink is $0.6 dollar,how many bottles of each kind of drink will he buy and what is his total utility
b.Supposing grape drink is on a special discount of $0.25 and the price of the orange drink is still at $1,how many bottles of each kind of drink will he buy and what is his total utility

Question

Jonathan spent $10 buying sports drinks each week,and his preference is given by a utility function U = 10 × (2Q₀
 + QG),where Q₀
 is the bottles of orange drink he consumes and QG is the bottles of grape drink he consumes.
a.If the price of orange drink is $1 and grape drink is $0.6 dollar,how many bottles of each kind of drink will he buy and what is his total utility
b.Supposing grape drink is on a special discount of $0.25 and the price of the orange drink is still at $1,how many bottles of each kind of drink will he buy and what is his total utility

Quizplus · Accepted Answer

The Answer of Jonathan spent $10 buying sports drinks each week,and his preference is given by a utility function U = 10 × (2Q₀
 + QG),where Q₀
 is the bottles of orange drink he consumes and QG is the bottles of grape drink he consumes.
a.If the price of orange drink is $1 and grape drink is $0.6 dollar,how many bottles of each kind of drink will he buy and what is his total utility
b.Supposing grape drink is on a special discount of $0.25 and the price of the orange drink is still at $1,how many bottles of each kind of drink will he buy and what is his total utility

Jonathan Spent $10 Buying Sports Drinks Each Week,and His Preference