In Problem 3, Ambrose's Utility Is U(x₁, X₂) =

question 13

Multiple Choice

In Problem 3, Ambrose's utility is U(x₁, x₂) = . If the price of nuts (good 1) is $1, the price of berries (good 2) is $4, and his income is $104, how many units of nuts will Ambrose choose?

• A) 67
• B) 128
• C) 64
• D) 10
• E) 32

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