Charlie's Utility Function Is U(x_A, X_B) = X_Ax_B

question 29

Multiple Choice

Charlie's utility function is U(x_A, x_B) = x_Ax_B. If Charlie's income were $40, the price of apples were $2, and the price of bananas were $5, how many apples would there be in the best bundle that Charlie could afford?

• A) 20
• B) 6
• C) 4
• D) 5
• E) 10

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Definitions:

Parietal Bone

A bone forming the central side and upper back part of each side of the skull.

Temporal Bone

A complex bone located at the sides and base of the skull, housing the structures of the ear and forming part of the side walls of the skull.

Frontal Bone

The bone forming the front part of the skull and the upper part of the eye sockets.

Forehead

The part of the human face above the eyebrows and below the hairline, associated with the frontal bone of the skull.