Suppose Mary is in consumer equilibrium. The marginal utility of good A is 30, and the price of good A is $2.

a. if the price of good B is $4, the price of good C is $3, the price of good D is $1, and the price of all other goods and services is $5, what is the marginal utility of each goods mary is purchasing?

b. If mary has chosen to keep $10 in savings, what is the ratio of MU to P for savings?

Question

Suppose Mary is in consumer equilibrium. The marginal utility of good  A is 30, and the price of good A is $2.

a. if the price of good B is $4, the price of good C is $3, the price of good D is $1, and the price of all other goods and services is $5, what is the marginal utility of each goods mary is purchasing?

b. If mary has chosen to keep $10 in savings, what is the ratio of MU to P for savings?

vaboro · Answer

a) $$MU _{b}=60, MU_{c}=45, MU_{d}=15, MU_{allothergoods}=75$$
b)
the ratio of MU to P for savings is greater than 15