Mrs. Simpson buys loaves of bread and quarts of milk each week at prices of $1 and 80 cents, respectively. At present she is buying these products in amounts such that the marginal utilities from the last units purchased of the two products are 80 and 70 utils, respectively. a. Is she buying the utility-maximizing combination of bread and milk? O No, the marginal utility per cent spent on bread is 0.80 and the marginal utility per cent spent on milk is 0.875. O No, the marginal utility per cent spent on bread is 0.875 and the marginal utility per cent spent on milk is 0.80. O She may or may not be buying the utility-maximizing combination since the amount that she is purchasing is not given. We cannot determine the utility-maximizing combination of bread and milk from the given information. b. If not, how should she reallocate her expenditures between the two goods? She should buy more milk and less bread. She should buy less milk and more bread. O She should buy more bread and more milk. She is currently buying the utility-maximizing combination of bread and milk.