Problem
Every day, Josie buys 2 cups of coffee and 1 sandwich for lunch. The price of coffee is $2 a cup and the price of a sandwich is $5. Josie's choice of lunch maximizes her total utility, and she spends only $9 on lunch. Compare Josie's marginal utility from coffee with her marginal utility from the sandwich. 6. Susie spends $28 a week on sundaes and magazines. The price of a sundae is $4 and the price of a magazine is $4. Table 2 shows Susie's marginal utility from sundaes and magazines. How many sundaes does she buy? If the price of a sundae doubles to $8 and other things remain the same, how many sundaes will she buy? What are two points on her demand curve for sundaes?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.