Table 7-3 -Refer to Table 7-3

question 341

Multiple Choice

Table 7-3
$$\begin{array} { | c | c | c | } \hline & \text { Ice Cream Cones } & \text { Lime Fizz Soda } \\\hline \text { Quantity } & \boldsymbol { M U } & \boldsymbol { M U } \\\hline 1 & 30 & 40 \\\hline 2 & 25 & 35 \\\hline 3 & 20 & 26 \\\hline 4 & 15 & 18 \\\hline 5 & 10 & 15 \\\hline 6 & 5 & 7 \\\hline\end{array}$$
-Refer to Table 7-3.The table above shows Lee's marginal utility per dollar from consuming ice cream cones and cans of Lime Fizz Soda.The price of an ice cream cone is $2 and the price of Lime Fizz Soda is $1.Use this information to select the correct statement.

• A)We cannot determine how many ice cream cones and cans of Lime Fizz Soda Lee will consume without knowing what his income is.
• B)To maximize his utility Lee should consume 1 ice cream cone and 5 cans of Lime Fizz Soda.
• C)We cannot determine how many ice cream cones and cans of Lime Fizz Soda will maximize Lee's utility because we are given only the marginal utility per dollar values.We also need to know the marginal utility for each quantity.
• D)If Lee has an unlimited budget he will maximize his utility by buying only Lime Fizz Soda.

Recognize the role of conditions precedent and subsequent in determining the obligations of parties to a contract.

Analyze the impact of external circumstances, such as legal changes and specific events, on contract discharge.

Comprehend the doctrine of anticipatory repudiation and its legal consequences.

Understand the principles of substantial performance and how they affect contractual obligations and remedies.

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Definitions:

Price of Wheat

The cost at which wheat is sold in the market, which can vary based on factors like quality, demand, and supply conditions.

Production Costs

The total expense incurred in the manufacturing of a product or the provisioning of a service, including raw materials, labor, and overhead expenses.

Substitute for Wheat

A comparable alternative to wheat, such as barley, rice, or corn, used in various food products or for feed.

Invisible Hand Principle

A metaphor described by Adam Smith to illustrate how individuals pursuing their own self-interest can benefit society overall, as if guided by an unseen hand.