To achieve the greatest satisfaction from a fixed level of expenditure on two goods, X and Y, how should a consumer divide her spending between the two goods?
- Amarginal utility X = marginal utility Y
- Bmarginal utility X × price of X = marginal utility Y
- Cmarginal utility of X / price of X = marginal utility of Y / price of Y
- Dmarginal utility of X / marginal utility of Y = price of X / price of Y