Sheila is at her favorite Mexican restaurant. She’s trying to decide between the chips and salsa, which cost $2.99, and the chips and guacamole, which cost $8.99. She loves guacamole, but the price seems high. How can she use the concept of marginal utility to make her decision?
a. She should compare how much she would enjoy three orders of chips and salsa to how much she would enjoy one order of guacamole.
b. She should order the guacamole as long as she likes it at least three times as much as the chips and salsa.
c. As long as she likes guacamole more than salsa, she should order the guacamole; price is irrelevant to marginal utility.
d. She should order the chips and salsa until its marginal utility falls to the level of guacamole and then begin ordering the guacamole.
b. She should order the guacamole as long as she likes it at least three times as much as the chips and salsa.
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