Learning Journal prompt: For Unit 4 Learning Journal, you will use the marginal utility formula to choose between two products. Catherine is having dinner at the Yellow Restaurant. She wants desert after eating her entree. She is trying to decide between a cookie or a slice of pie. The cost of a cookie is $5 and the cost of a slice of pie is $8. Refer to the Unit 4 Learning Journal Marginal Utility spreadsheetCompute the marginal utility for cookie and slice of pieCompute the marginal utility per dollarWhat is the utility maximizing choice for a cookie and slice of pie? Explain what the utility maximizing choice means.Discuss how you could use marginal utility to make consumer choices H1410 8VIX✓ fxB1 Marginal Utility: Cookie2 Quantity Consumed3 1425 3647 58 697121314ATotal Utility1834496171798487сMarginal Utility18Dper DollarEFMarginal Utility: Slice of PieQuantity Consumed Total Utility16304251606874761234567816GMarginal UtilityHper Dollar

The marginal utility is the additional utility that the consumer derives from consuming one more…

Answered: For Unit 4 Learning Journal, you will…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Learning Journal prompt:

For Unit 4 Learning Journal, you will use the marginal utility formula to choose between two products.

Catherine is having dinner at the Yellow Restaurant. She wants desert after eating her entree. She is trying to decide between a cookie or a slice of pie. The cost of a cookie is $5 and the cost of a slice of pie is $8.

Refer to the Unit 4 Learning Journal Marginal Utility spreadsheet

Compute the marginal utility for cookie and slice of pie
Compute the marginal utility per dollar
What is the utility maximizing choice for a cookie and slice of pie?
Explain what the utility maximizing choice means.
Discuss how you could use marginal utility to make consumer choices

H14
10 8
VIX✓ fx
B
1 Marginal Utility: Cookie
2 Quantity Consumed
3 1
42
5 3
64
7 5
8 6
97
12
13
14
A
Total Utility
18
34
49
61
71
79
84
87
с
Marginal Utility
18
D
per Dollar
E
F
Marginal Utility: Slice of Pie
Quantity Consumed Total Utility
16
30
42
51
60
68
74
76
1
2
3
4
5
6
7
8
16
G
Marginal Utility
H
per Dollar

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