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ADVANCED ANALYSIS Let MU A P A = z A = 15 1 x MU B P B = z B = 10 1 y

ADVANCED ANALYSIS Let

MUA PA = zA = 15 1x

MUB PB = zB = 10 1y,

where z is marginal utility per dollar measured in utils, x is the amount spent on product A, and y is the amount spent on product B. Assume that the consumer has $19 to spend on A and Bthat is, x + y = 19.

Instructions: Enter your answers as a whole number.

  1. How is the $19 best allocated between A and B?

$ (blank) on A

and $(blank) on B

  1. How much utility will the marginal dollar yield?

(blank)utils

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