Julia is offered two options of government subsidies: $100 food stamp

Julia is offered two options of government subsidies: $100 food stamp or $100 cash. If she receives $100 cash, she will spend $80 on food.

If equivalent evaluation is measured for the situation when only $100 is available to her, the equivalent evaluation is A) greater than $100.
B) equal to $100.
C) less than $100.
D) Not enough information.

ANSWER

C