In May and June, Tammy spent all her clothing budget on bathing suits and beach bags. Each bathing suit costs $75. At Tammy's optimal choice, her marginal utility from the last bathing suit purchased is 300 and her marginal utility from the last beach bag purchased is 200. This means that each handbag must cost: a. $50 b. $25 c. $100 d. $150

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: 1. You have a budget of $125 per month that you can spend digital music or eating dinner. Each…

A: The utility of the digital album and dinner is given below:AlbumsDinnerNo per weekTUNo per…

Q: The table details the total utility that J.J. gets from going to see basketball and hockey games…

A: Marginal utility is the utility derived from the consumption of additional unit.    Marginal utility…

Q: Allison has a weekend education budget of $125 to spend on movies or video games. A movie rental…

A: For finding the utility maximizing level of both the goods, given the income and price, the marginal…

Q: How do your total and marginal utility change as you stay at home watching the same TV show (not…

A: The objective of the question is to understand how total and marginal utility change as a person…

Q: Price of Can of Beer = $0.50 Total Utility Price of Slice of Pizza = $1.00 Slices per Week Total…

A: According to the question, the price of beer is $0.5 and pizza is $1.

Q: A consumer sets themselves a weekly budget of $15 for vegetables. They only eat carrots and peas.…

A: A budget line shows various combinations of two goods a consumer can purchase by spending all income…

Q: A consumer is currently purchasing three pairs of jeans and five T-shirts per year. The price of…

A: Every human has needs that must be met in order to improve their welfare as a whole. Utility is the…

Q: You can buy pencils and pens. Each pencil costs $7.5 and each pen costs $5.    Marginal utility…

A: Maximum utility  Utility maximization is the desire for the greatest amount of pleasure from one's…

Q: Calculate the Marginal Utility then the MU/P to find Consumer Optimum. How many drink(s) and Big…

A: PLease check the step 2 for solution

Q: A consumer is trying to decide between purchasing one smoothie or one cappuccino. They get 30 utils…

A: In economics, the term "utility" refers  to define the value or worth of a product or service. More…

Q: . Explain utility and its connection to consumer behavior

A: Note:  We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: ob can buy two kinds of goods, food and clothing. He earns £400 per week. Food items cost £4 each,…

A: Budget line is a graph that depicts thee possible combinations of two goods or services that a…

Q: 3. Sam has set aside $480 for entertainment this month, which is golf (x) and/or bowling (z). A…

A: Given utility function is form of perfect substitute utility function, perfect substitute goods…

Q: 1. Suppose someone's budget is $780, and it is fully spent on buying Product A. The price of this…

A: Income available to spend on product A is $780 Price of product A is $26 => Units purchased with…

Q: The current price of chicken is $5 per pound and the current price of beef is $10 per pound. Raúl’s…

A: Here, given information is: price of chicken: $5 price of beef: $10 MU of chicken: 10 MU of beef:…

Q: 6. The table below presents Kent's marginal utility per dollar for books and pizzas. Books cost $16…

A: ANSWER     Let number of books purchased be x and number of pizzas purchased be y. According to equi…

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: The principle of diminishing marginal utility says that people don't enjoy consuming more of a good.…

A: We will answer the first question since the exact one was not specified. Please submit a new…

Q: 4. Liam initially has a weekly allowance of €24 to spend on eggs (at €0.40 per egg) and beans (at…

A: Liam will only consume 4 eggs with each tin of beans. This denotes that Liam considers eggs and tin…

Q: Mike is a jellyfish wrangler.  In June and July he spent his budget on fish tanks and wet suits.…

A: Marginal Utility: - marginal utility is the utility derived by the consumption of an additional…

Q: 2. If peanut butter brings you 30 utils of pleasure for the last dollar's worth, and the last dollar…

A: In order to maximize utility, a consumer make economic decisions that guarantee the highest level of…

Q: A consumer who has spent all of her income on clothes and food and finds that her marginal-utility…

A: Answer: A purchasing more clothes and less food