You know that "x" represents the number of pounds of apples that Nick buys and "y" represents the number of pounds of oranges that Nick buys.
According to the explanation given in the exercise, the cost of apples per pound is $1.29 and the cost of oranges per pound is $1.35.
Then, you can set up the following expression to represent the total cost for "x" pounds of apples and "y" pounds of oranges:
You know that he spends no more than $12. This means that the total cost is less than or equal to $12. Then, you can set up the following inequality to represent this situation:
Therefore, the answer is: Third option.