Reginald Is Fond of Cigars

question 28

Multiple Choice

Reginald is fond of cigars. His utility function is U(x, c) = x + 10c - .5c², where c is the number of cigars he smokes per week and x is the money that he spends on the consumption of other goods. Reginald has $200 a week to spend. Cigars used to cost him $1 each, but their price went up to $2 each. This price increase was as bad for him as losing income of

• A) $5.
• B) $7.25.
• C) $9.
• D) $8.
• E) $8.50.

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Definitions:

High-Side Pressures

The pressure measurements found in the high-pressure side of systems such as air conditioning units, crucial for diagnosing system performance.

Low-Side Pressures

Pressures measured in the low-pressure side of a system, particularly in cooling and refrigeration circuits, indicating the system's status and efficiency.

Damaged Compressor

A compressor that has experienced failure or impairment, affecting its ability to pressurize and circulate refrigerant in HVAC systems or other machinery.

Latent Heat

The amount of heat energy required to change a substance from one state to another: a key principle of refrigeration physics. See also latent heat of condensation and latent heat of vaporization.