-Suppose that you consume only pizza, which costs $4 per slice, and Diet Pepsi, which costs $2 per can. The table above gives your utility from consuming these two goods. If your income is $14, which of the following consumption combinations will you choose?
A) 2 slices of pizza and 3 Diet Pepsis.
B) Zero slices of pizza and 7 Diet Pepsis.
C) 3 slices of pizza and 1 Diet Pepsi.
D) 1 slice of pizza and 5 Diet Pepsis.
E) None of the above answers is correct.

Question

-Suppose that you consume only pizza, which costs $4 per slice, and Diet Pepsi, which costs $2 per can. The table above gives your utility from consuming these two goods. If your income is $14, which of the following consumption combinations will you choose?
A) 2 slices of pizza and 3 Diet Pepsis. 
B) Zero slices of pizza and 7 Diet Pepsis. 
C) 3 slices of pizza and 1 Diet Pepsi. 
D) 1 slice of pizza and 5 Diet Pepsis. 
E) None of the above answers is correct.

Quizplus · Accepted Answer

The combination of 2 slices of pizza ($8) and 3 Diet Pepsis ($6) costs exactly $14, which matches the budget constraint.

-Suppose That You Consume Only Pizza, Which Costs $4 Per