The table shows the marginal utility schedules for product X and product Y for a hypothetical consumer. The price of product X is $6 and the price of product Y is $2. The income of the consumer is $30. Units of X MU x Units of Y MUy 1 24 66 20 3 60 3 16 4 48 4 12 30 8 When the consumer purchases the utility-maximizing combination of product X and product Y, total utility will be . 2. 72 2.

Q: Which statement BEST describes the principle of diminishing marginal utility? As an individual…

A: According to the law of diminishing marginal utility, as we consume more and more of a good then the…

Q: Q10. Consider a utility function: U (F,C) = FC so MU_F = C and MU_C = F. In Case 1, Total income is…

A: We are going to use Consumser decision theory to answer the question.

Q: The first Pepsi yields Craig 18 units of utility and the second yields him an additional 12 units of…

A: Given  Total utility from first Pepsi = 18 units Marginal utility from Second Pepsi = 12 units Total…

Q: The table shows the utility schedule for a consumer of candy bars.   Number Consumed Total Utility…

A: Answer to the question is as follows:

Q: John is maximizing utility when consuming two goods, French fries and hot dogs. If the marginal…

A: Utility Maximization is the situation where a consumer spend his all income on goods that maximise…

Q: Which statement BEST describes the principle of diminishing marginal utility?

A: C is the correct option and describes the principle of marginal utility.

Q: Number of Cinema Tickets Total Utility MU/P for Cinema Tickets Marginal Utility Price of a Cinema…

A: The consumer equilibrium shows the maximization of the satisfaction of the consumer by spending his…

Q: To remain in consumer​ optimum, a price decrease requires(blank) in consumption. A price increase…

A: 1. As per law of demand, decrease in price will result in increase in demand.   A price decrease…

Q: When utility function  U(q1, q2)=min{ 25.6 q1,  12.5 q2} and  q1= 99 and q2= 198 are given, find…

A: The Utility function can be represented by   U(q1, q2)=min{ 25.6 q1,  12.5 q2} In general, if…

Q: To remain in consumer optimum, a price decrease requires V in consumption. A price increase requires…

A: To remain in consumer optimum, a price decrease requires an increase in consumption. A price…

Q: Alicia consumes goods X and Y. At her current consumption bundle, Alicia's marginal utility of the…

A:

Q: The table below contains information about the total utility you gain from coffee you buy from a…

A: The TU {total utility} is described as the total satisfaction that a customer can derive from the…

Q: Calculate the MRS for the following utility function U (x1, X2) = 2x + x; + e³x1 (in text mode, the…

A: Utility function : U(x1 , x2 ) = 2x12 + x22 + e3x1 Marginal Rate of substitution refers to the rate…

Q: Boyd currently consumes 46 units of good B and 36 units of good C. His total level of utility is…

A: Given data; Boyd has the utility function as Given below, U = 100B√C Where B indicates books and  C…

Q: James enjoys having either a peanut butter sandwich or a bologna sandwich for his lunch. A drop in…

A: consumer equilibrium is the situation where consumer gets utility maximised with given level of…

Q: What happens to marginal utility at the point where total utility is decreasing? Answers: a.…

A: Utility is the fulfillment or advantage inferred by devouring an item; in this manner the minimal…

Q: Answer the table below showing the marginal utility schedules for product X and product Y for a…

A: Given information: Price of product X (Px) = $4 Price of product Y (Py) = $2 Income of the consumer…

Q: Answer the question based on the table below showing the marginal utility schedules for product X…

A: We have given that  The price of good x is $3 and the price of good Y is $2 and consumer income is…

Q: Q) Marginal utility measures the Select one: a. additional cost of an additional unit of…

A: The utility of a Commodity: The term utility of a commodity refers to the satisfying power or the…

Q: When marginal utility is decreasing but positive, total utility is a increasing at a decreasing…

A: Marginal utility is the additional utility that is derived by consuming an additional unit of the…

Q: Consumer spends $450 per week on two goods, X and Y. PX= $5 and PY=$3. His utility function is U=…

A: Given,  U= 0.5xy2

Q: Bill spends his money on flowers and cookies so as to maximize his total utility. Both flowers and…

A: Bill spends his money on flowers and cookies so as to maximize his total utility. Price of flowers…

Q: Arya has an income of $150 per month. She spends on two goods: Burgers and Colas. The price of a…

A: Answer (c) Suppose income falls from $150 to $100, then the below graph shows changes in budget…

Q: sing the utility function below, answer the following questions: (X,Y) = min{ X,3Y} 1. Calculate the…

A: UM is a microeconomic concept where firms and individuals seek to get the highest satisfaction from…

Q: George  drinks 5 cans of beer, his total utility of bear can be calcualted by   A. summing the…

A: The sum of the utility obtained from every unit of consumption is the total utility. If more units…

Q: The marginal utility of the 8th can of beer is

A: In economics, marginal utility refers to the additional satisfaction or benefit (utility) a buyer…

Q: Consumer utility function is, U(XY) = X 75 Y 0.5.  The price of X good 2 AZN and Y good 4 AZN. If…

A: A consumer maximizes utility by consuming at the point where slope of indifference curve given by…

Q: If marginal utility is declining but still positive, total utility is increasing.  True or false…

A: The utility is the satisfaction received from consuming a good or service.

Q: Why is “consumer's utility is impossible to measure and quantify? Explain your answer.

A: In economics, utility refers to the entire pleasure derived from the consumption of an item or…

Q: Given the data in the above table, if income is $16, and the price is $1 for a bottle of water and…

A: Total utility is the total satisfaction that a consumer derives when he consumes goods and services.…

Q: utility

A: Total utility(TU) is the satisfaction that a person gains from consuming a unit of a good.  Marginal…

Q: A consumer has an expenditure function given by E = Ū (²² +). When the consumer has an income of…

A: The expenditure function provides the minimum cost that a consumer incurs to achieve a certain level…

Q: Katie's preferences display completeness, transitivity, nonsatiation, and a diminishing marginal…

A: Katie's Previous: Income, M = 1000 Px = 10 Quantity of X = 30 units Total spent on X = 10*30 = 300…

Q: Q.2. From the following total utility schedule a. derive the marginal utility schedule. b. plot the…

A: Disclaimer :- as you posted multipart questions we are supposed to solve the first 3 questions only…

Q: 9)----------- is the addition to total utility by the consumption of one additional unit of the…

A: Utility: - Utility is the satisfaction derived by any consumer by consuming a good or service.

Q: The figure below shows a consumer maximizing utility at two different prices (the left panel) and…

A: Answer: According to the above figure, the initial equilibrium is at point A where the quantity…

Q: Suppose the following table reflects the total satisfaction (utility) derived from eating pizza:…

A: Law of DMU states that when a person consumes a commodity, the satisfaction he/she derives from the…

Q: ow does the law of diminishing marginal utility relate to changing income? Select one: a. The…

A: Marginal utility is the utility that is derived by consuming one extra unit of the good.

Q: Q4-From the blow table discuss the following with the help of graph. a)      Trend of total utility…

A: Utility is the want satisfying power of a commodity. It is the satisfaction that a consumer derives…

Q: As a person receives more of a good, the _______________ from each additional unit of the good…

A: Wants satisfying power of commodity called utility , here we choose the correct option and explain…

Q: Quantity X (unit) Quantity Y (unit) Ux (util) Uy (util) 1 1 15 12 2 2 26 21 3 35 27 4 4 41 32 5 5 45…

A: Given; Price of Good X= RM2 per unit Price of Good Y= RM1 per unit Income= RM13

Q: 13. Sylvester has an income of $110 that he spends on two goods: X and Y. The price of a unit of Y…

A: Given; Income; M= $110 Price of Y= $5 Price of first four unit of X= $14 Price after fourth unit of…

Q: Diminishing Marginal Utility. Explain the law of diminishing marginal utility Discuss an instance…

A: The idea of marginal utility is used to measure how individuals' satisfaction levels affected their…