Choose the One Alternative That Best Completes the Statement or Answers

question 23

Multiple Choice

Choose the one alternative that best completes the statement or answers the question.
Write the equation in exponential form.
- $$\log _ { 4 } 16 = 2$$

• A) \(2 ^ { 4 } = 16\)
• B) \(16 ^ { 2 } = 4\)
• C) \(4 ^ { 2 } = 16\)
• D) \(2 ^ { 16 } = 4\)

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Definitions:

Perfect Substitutes

Two goods for which consumers are completely indifferent as to which to consume, meaning the consumption of one good can fully replace consumption of the other.

Perfect Complements

Goods that are often consumed together in fixed proportions, such that demand for one increases demand for the other.

Cardinal Utility Functions

Utilize numerical values to represent the level of satisfaction or utility that consumers derive from different bundles of goods and services.

Ordinal Utility Functions

A representation of a consumer's preference ranking for different bundles of goods, without specifying the exact level of satisfaction.