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

question 22

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 $6, and his income is $186, how many units of nuts will Ambrose choose?

• A) 288
• B) 144
• C) 147
• D) 7
• E) 72

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Definitions:

Trial Court Judgment

The official decision or ruling made by a trial court at the conclusion of a legal proceeding.

Reversed

The action of changing a decision or judgement to the opposite, often referring to court decisions or legal outcomes.

Appellate Court Judgment

A decision made by a higher court regarding the appeal of a lower court's decision.

Affirmed

A legal term denoting that an appellate court has agreed with and confirmed the decision of a lower court.