(Figure: Utility Table Alpha) In the table, assume that a consumer has a budget of $7, apple juice costs $3 per bottle, and scones cost $2 each. Utility will be maximized by buying:
$\quad\quad\quad\quad\text { Apple Juice }$ $\quad\quad\quad\quad\quad\quad\quad\text { Scones }$
$\begin{array}{|c|c|c|c|}
\hline \text { Quantity } & \text { Total Utility } & \text { Quantity } & \text { Total Utility } \
\hline 0 & 0 & 0 & 0 \
\hline 1 & 25 & 1 & 31 \
\hline 2 & 43 & 2 & 60 \
\hline 3 & 56 & 3 & 83 \
\hline 4 & 66 & 4 & 105 \
\hline 5 & 74 & 5 & 116 \
\hline
\end{array}$
A) 2 bottles of apple juice and 0 scones.
B) 2 bottles of apple juice and 1 scone.
C) 1 bottles of apple juice and 2 scones.
D) 0 bottles of apple juice and 3 scones.

Question

(Figure: Utility Table Alpha) In the table, assume that a consumer has a budget of $7, apple juice costs $3 per bottle, and scones cost $2 each. Utility will be maximized by buying:
 $\quad\quad\quad\quad\text { Apple Juice }$  $\quad\quad\quad\quad\quad\quad\quad\text { Scones }$
$\begin{array}{|c|c|c|c|}
\hline \text { Quantity } & \text { Total Utility } & \text { Quantity } & \text { Total Utility } \
\hline 0 & 0 & 0 & 0 \
\hline 1 & 25 & 1 & 31 \
\hline 2 & 43 & 2 & 60 \
\hline 3 & 56 & 3 & 83 \
\hline 4 & 66 & 4 & 105 \
\hline 5 & 74 & 5 & 116 \
\hline
\end{array}$
A) 2 bottles of apple juice and 0 scones.
B) 2 bottles of apple juice and 1 scone.
C) 1 bottles of apple juice and 2 scones.
D) 0 bottles of apple juice and 3 scones.

Quizplus · Accepted Answer

The consumer maximizes utility by purchasing 1 bottle of apple juice (25 utility) and 2 scones (60 utility) for a total utility of 85, spending exactly $7.

(Figure: Utility Table Alpha) in the Table, Assume That a Consumer