Use the following to answer question 169:
-(Table: Utility from Pizza and Beer)Use Table: Utility from Pizza and Beer.At All-Sports Bar,a bottle of beer costs $4,and a slice of pizza costs $2.Denard has $10 to spend on beer and pizza.To maximize his utility,Denard will consume _____ slice(s)of pizza and _____ bottle(s)of beer.
A) five;no
B) three;one
C) one;two
D) four;three

Question

Use the following to answer question 169: 
-(Table: Utility from Pizza and Beer)Use Table: Utility from Pizza and Beer.At All-Sports Bar,a bottle of beer costs $4,and a slice of pizza costs $2.Denard has $10 to spend on beer and pizza.To maximize his utility,Denard will consume _____ slice(s)of pizza and _____ bottle(s)of beer.
A) five;no 
B) three;one 
C) one;two 
D) four;three

Quizplus · Accepted Answer

According to the table, the marginal utilities for the first slice of pizza and first bottle of beer are both 10. However, for each additional slice of pizza, the marginal utility decreases, while for each additional bottle of beer, the marginal utility remains constant at 8. Therefore, to maximize utility, Denard should consume only one slice of pizza, for a marginal utility of 10, and two bottles of beer, for a total marginal utility of 16.

Use the Following to Answer Question 169