Hilary enjoys consuming both soda and coffee. Each can of soda costs Hilary enjoys consuming both soda and coffee. Each , and each cup of coffee costs . Suppose that Hilary buys 75 cans of soda and 50 cups of coffee per month. The following graphs show her marginal utility curves for soda and coffee. At her current consumption level, Hilary's marginal utility from consuming the last can of soda she bought is utils per can, and her marginal utility from consuming the last cup of coffee she bought is utils per cup.

Is Hilary currently maximizing her utility?

No; she likes coffee and soda more than other goods, so she should buy more of both.

No; she could buy less soda and more coffee, not spend any more money, and be better off.

Yes; the marginal utility she receives from her last can of soda equals that of her last cup of coffee.

No; she could buy more soda and less coffee, not spend any more money, and be better off.

For each of the following combinations of soda and coffee, calculate the marginal utility per dollar from the last can of soda and the last cup of coffee. Then, use the dropdown menus in the last column to indicate which of the combinations satisfy the condition for consumer equilibrium.

Combination
Soda

Coffee

Consumer Equilibrium?
(Cans per Month) (Cups per Month)
A 100 100
B 75 50
C 125 100
D 25 25
Suppose Hilary has a "caffeine budget" of $395 per month, which she spends on soda and coffee. To maximize her utility, Hilary will purchasecans of soda andcups of coffee per month.