Home » Suppose Katie has the option to buy a shirt or buy a pair of pants. Suppose Katie purchases a pair of pants. Consider the following statements:…

Suppose Katie has the option to buy a shirt or buy a pair of pants. Suppose Katie purchases a pair of pants. Consider the following statements:…

20.Suppose Katie has the option to buy a shirt or buy a pair of pants. Suppose Katie purchases a pair of pants. Consider the following statements:I: Katie’s total utility increasesII: Katie’s marginal utility of shirts increasesIII: Katie’s marginal utility of shirts decreasesIV: Katie’s marginal utility of pants increasesV: Katie’s marginal utility of pants decreasesVI: Katie’s total utility decreasesChoose the best answer below.A) Only statements I, II, and V are trueB) Only statements III and VI are trueC) Only statements II and V are trueD) Only statements I and II are trueE) Only statements I and V are trueF) Only statements I, II, and IV are trueG) Only statements I and III are trueH) Only statements I, III, and V are true

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