Poindexter's utility function is U(x, y)= min{x + 2y, 3x + y}, where x is butter and y is guns.If the price of butter is $4 and the price of guns is $5, what would it cost Poindexter to buy the cheapest bundle that he likes as well as 4 units of butter and 3 units of guns?
A)$31
B)$32
C)$29
D)$28
E)None of the above.

Question

Quizplus · Accepted Answer

The Answer of Poindexter's utility function is U(x, y)= min{x + 2y, 3x + y}, where x is butter and y is guns.If the price of butter is $4 and the price of guns is $5, what would it cost Poindexter to buy the cheapest bundle that he likes as well as 4 units of butter and 3 units of guns?
A)$31
B)$32
C)$29
D)$28
E)None of the above.

Poindexter's Utility Function Is U(x, Y)= Min{x + 2y, 3x