Ambrose's Utility Function Is = 4x^1/2₁ + X₂

question 29

Multiple Choice

Ambrose's utility function is = 4x^1/2₁ + x₂.If the price of nuts (good 1) is $1, the price of berries (good 2) is $7, and his income is $259, how many units of berries will Ambrose choose?

• A)8
• B)197
• C)9
• D)18
• E)12

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Definitions:

Exercise

Physical activities undertaken to maintain or improve health and fitness.

Ability

The possession of the means or skill to do something, often considered in context of physical, mental, or learned competencies.

Warm-up

Physical or preparatory activities performed before exercise or a performance to prevent injury and enhance efficiency.

High Intensity

A level of extreme exertion or concentration, often used to describe workouts or activities that require a significant amount of energy in a short period.