Ambrose's Utility Function Is

question 8

Multiple Choice

Ambrose's utility function is . If the price of nuts (good 1) is $1, the price of berries (good 2) is $5, and his income is $190, how many units of berries will Ambrose choose?

• A) 36
• B) 101
• C) 18
• D) 17
• E) 21

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Definitions:

Ammonia Dermatitis

Skin irritation caused by prolonged exposure to ammonia, commonly seen in diaper rash.

Zinc Oxide

A white powder used as a pigment and in medicinal ointments for its protective, antiseptic, and astringent properties.

Artificial Eye

A prosthetic device, also known as an ocular prosthesis, designed to replace a missing or damaged eye.

Lubricant

A substance used to reduce friction between surfaces in mutual contact, which can either be natural or synthetic, commonly used in sexual activities to decrease discomfort.