Becky decides to spend $50 per month on DVD rentals and movie tickets. Her marginal utility schedules from these two goods are shown in the table above. The price of a DVD rental is $2.50, and the price of a movie ticket is $5

Suppose Becky rents 8 DVDs and buys 6 movie tickets per month. She A) cannot increase her total utility because she already gets the maximum possible utility from DVD rentals and movies within her budget.
B) can increase her total utility if she rents more DVDs and buys more movie tickets.
C) can increase her total utility if she rents more DVDs and buys fewer movie tickets.
D) can increase her total utility if she rents fewer DVDs and buys more movie tickets.


D

Economics

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