The Following Table Shows Erica's Utility for Muffins and Grapefruit

question 125

Multiple Choice

The following table shows Erica's utility for muffins and grapefruit.

-Refer to the above information to answer this question.If Erica has a budget of $5 and the price of both muffins and grapefruit are $1,what will be the total utility of her optimal purchase?

• A)66 utils.
• B)126 utils.
• C)136 utils.
• D)363 utils.
• E)423 utils.

---

Definitions:

Guarantor

An individual or party that guarantees to pay back a loan or fulfill another obligation if the primary party fails to do so.

Liability

The state of being legally obligated and responsible for something, typically involving restitution for harm or damages caused.

Principal Obligation

The main debt or duty that a debtor is bound to fulfill under the terms of a contract.

Surety

A person or entity that takes responsibility for another's performance of an undertaking, for example, the payment of a debt.