Suppose Amanda spends all of her income of $1,000 on mascara (M) and chocolate (C) at her consumer equilibrium. The pric
Posted: Wed Jul 06, 2022 6:34 pm
Suppose Amanda spends all of her income of $1,000 on mascara (M)and chocolate (C) at her consumer equilibrium. The prices per unitare PM = $5 and PC = $10. Which ofthe following statements about Amanda's marginal utility (MU) isconsistent with her being at her consumer equilibrium?
a. MUM = 10, MUC = 10
b. MUM = 10, MUC = 5
c. MUM = 5, MUC = 5
d. MUM = 5, MUC = 10
a. MUM = 10, MUC = 10
b. MUM = 10, MUC = 5
c. MUM = 5, MUC = 5
d. MUM = 5, MUC = 10