A consumer has the following utility function: U(X1,X2) = X1X2 + X1 + 2X2 Where X1 is her consumption of candies with a price of $2 and X2 is her consumption of notebooks with a price of $5. Her income is $51. Determine the number of candies and notebooks that will maximize the consumer’s utility.
A consumer has the following utility function: U(X1,X2) = X1X2 + X1 + 2X2 Where X1 is her consumption of candies with a price of $2 and X2 is her consumption of notebooks with a price of $5. Her income is $51. Determine the number of candies and notebooks that will maximize the consumer’s utility.
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter6: Consumer Choice Theory
Section: Chapter Questions
Problem 8SQP
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A consumer has the following utility function: U(X1,X2) = X1X2 + X1 + 2X2
Where X1 is her consumption of candies with a price of $2 and X2 is her consumption of notebooks with a price of $5. Her income is $51. Determine the number of candies and
notebooks that will maximize the consumer’s utility.
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