The Following Table Shows Erica's Utility for Muffins and Grapefruit

question 117

Multiple Choice

The following table shows Erica's utility for muffins and grapefruit.

-Refer to the above information to answer this question.If Erica has a budget of $8 and the price of both muffins and grapefruit are $1,what will be the total utility of her optimal purchase?

• A)96 utils.
• B)116 utils.
• C)210 utils.
• D)331 utils.
• E)541 utils.

---

Definitions:

Economics Exam

A formal assessment that evaluates an individual's understanding and knowledge on the subject of economics, covering topics such as market structures, economic principles, and fiscal policies.

Maximize Profits

The process by which a firm determines the price and output level that returns the greatest profit.

Maximize Utility

The process of making choices to achieve the highest total level of satisfaction or benefit from consumed goods or services.

Rational

The characteristic of an individual or decision that is based on logic and aimed at achieving maximum utility.