Lata likes to eat burgers and has already eaten two. Her marginal utility from the last burger she consumes is 90 utils. If the price of burger is Rs. 25 per unit and marginal utility of a rupee is 3 utils, then?

Option 1 -> MU/Price (90/25 = 3.6) > MU of money (3), so she should consume more burgers.

Option 2 -> Incorrect, as consuming less would move her further from equilibrium.

Option 3 -> Incorrect, she is not in equilibrium since MU/P ≠ MU of money.

Option 4 -> Incorrect, sufficient information is provided to determine behavior.

Hence, Option 1: Lata should increase the consumption of burgers to attain equilibrium. -> The consumer equilibrium condition states that MU/Price should equal MU of money. Here, MU of burger per rupee = 90/25 = 3.6 utils, while MU of money = 3 utils. Since 3.6 > 3, Lata is getting more satisfaction per rupee from burgers than from other goods. She should consume more burgers until the MU falls (due to diminishing marginal utility) and MU/P = 3, achieving equilibrium. -> correct