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Natasha derives utility from attending rock concerts (r) and from colas (c) as follows: U(c,r) cr-1. The marginal utility of cola (MUC) and the
Natasha derives utility from attending rock concerts (r) and from colas (c) as follows: U(c,r) cr-1. The marginal utility of cola (MUC) and the marginal utility of rock concerts (MUr) are: MUC = 9c1 = MUr-.10-9--9 If the price of cola (Pc) is $1 and the price of concert tickets (Pr) is $30 and Natasha's income is $300, how many colas and tickets should Natasha buy to maximize utility? Daniel derives utility from only two goods, cake (Qc) and donuts (Qd). The marginal utility that Daniel receives from cake (MUC) and donuts (MUd) are given as follows: MUC = Qd MUd Qc. Daniel has an income of $240 and the price of cake (PC) and donuts (Pd) are both $3. What quantity Qc will maximize Daniel's utility?
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