Rachel consumes only strawberries and peaches. She has $100. The price of strawberries is 2.00/per strawberry and the price of peaches are 5.00/per peach!
a) what is the maximum number of peaches she can afford?
b)How many strawberries can she afford if she also wants to eat 10 peaches
c) Rachel considers buying 2 peaches and 45 strawberries. Her marginal utility of an extra peach is 20. The marginal utility of a strawberry is 5. Give an example that would provide more utility to rachel than 2 peaches and 45 strawberries and is still affordable for her.
a) what is the maximum number of peaches she can afford?
b)How many strawberries can she afford if she also wants to eat 10 peaches
c) Rachel considers buying 2 peaches and 45 strawberries. Her marginal utility of an extra peach is 20. The marginal utility of a strawberry is 5. Give an example that would provide more utility to rachel than 2 peaches and 45 strawberries and is still affordable for her.