1. Karen has an income of $10 to spend on pears and grapes. A pear costs $1 each and grapes cost $2.
2. Prepare the consumption possibilities table:

Quantity of Pear	Quantity of Grape

1. When the price of pear changes to $2 and the price of grape remains constant, the table below shows her marginal utility:

Quantity of Pear	Total Utility	Marginal Utility	Marginal Utility per Dollar		Quantity of Grape	Total Utility	Marginal Utility	Marginal Utility per Dollar
1		30			1		40
2		24			2		34
3		18			3		24
4		12			4		8
5		0			5		0

1. What combination of pear and grapes would maximise her utility?_______________________