Table 7-2 Table 7-2 Above Shows Keira's Utility from Soup and Sandwiches

question 251

Multiple Choice

Table 7-2
$\begin{array}{|c|c|c|c|}\hline\begin{array}{c}\text { Quantity of } \\\text { Soup (cups) }\end{array} & \text { Total Utility } & \begin{array}{c}\text { Quantity of } \\\text { Sandwiches }\end{array} & \text { Total Utility } \\\hline 1 & 40 & 1 & 45 \\\hline 2 & 60 & 2 & 75 \\\hline 3 & 72 & 3 & 102 \\\hline 4 & 82 & 4 & 120 \\\hline 5 & 88 & 5 & 135 \\\hline 6 & 90 & 6 & 145 \\\hline\end{array}$ Table 7-2 above shows Keira's utility from soup and sandwiches. The price of soup is $2 per cup and the price of a sandwich is $3. Keira has $18 to spend on these two goods.
-Refer to Table 7-2.If Keira maximizes her utility,how many units of each good should she buy?

• A) 1 cup of soup and 5 sandwiches
• B) 3 cups of soup and 4 sandwiches
• C) 6 cups of soup and 2 sandwiches
• D) 4 cups of soup and 3.5 sandwiches

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Definitions:

Homemade Dividends

Idea that individual investors can undo corporate dividend policy by reinvesting dividends or selling shares of stock.

Growth Rate

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A corporate action where a company reduces the number of its outstanding shares to increase the share price, without altering the company's market capitalization.

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Represents the total number of shares of a corporation that are currently owned by all its shareholders, including share blocks held by institutional investors and restricted shares owned by the company’s insiders.