Product price does change when product option (with additional price) is selected. The reason you don't see it working this way is because you are logged in as admin.
When you are logged in to your store owner account, your store is in "edit mode" so you can edit products and options, and that naturally disables some of the "customer related" functionality.
Please try logging out of your account, than toggle product option, to see the final product price of $17 displayed.
Steve - eez.io support