Refer to the Information Provided in Table 6 -Refer to Table 6

question 244

Multiple Choice

Refer to the information provided in Table 6.4 below to answer the question(s) that follow.
Table 6.4
$$\begin{array} { | c | c | c | } \hline \begin{array} { c } \text { Number of } \\\text { Donuts per Day }\end{array} & \text { Total Utility } & \text { Marginal Utility } \\\hline 1 & 80 & \\\hline 2 & 150 & \\\hline 3 & 200 & \\\hline 4 & 230 & \\\hline 5 & & 10 \\\hline \begin{array} { c } \text { Number of } \\\text { Burritos per Day }\end{array} & \text { Total Utility } & \text { Marginal Utility } \\\hline 1 & 60 & \\\hline 2 & 108 & \\\hline 3 & 144 & \\\hline 4 & 168 & \\\hline 5 & & 12 \\\hline\end{array}$$
-Refer to Table 6.4. If the price of a donut is $2, the price of a burrito is $4, and Luigi has $12 of income, Luigi's utility-maximizing combination of donuts and burritos per day is

• A) 1 donut and 2 burritos.
• B) 4 donuts and 1 burrito.
• C) 2 donuts and 1.5 burritos.
• D) indeterminate from this information.

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Definitions:

Substantial-purpose Rule

A legal doctrine that focuses on the main objective of an action to determine its legality or the applicability of certain laws.

Main-purpose Rule

A legal principle stating that if the main purpose of a promise to pay another's debt is to benefit the promisor, the promise may be enforceable without being in writing.

Executor

An individual appointed in a will to manage the estate of the deceased, ensuring that all affairs are settled and wishes are honored.

Estate

The total property, assets, and liabilities of a person, especially considered in the context of inheritance or estate planning.