The following table shows the amounts of additional satisfaction (marginal utility) that Ross would get from consuming successivequantities of products A and B.a. Fill in the MU/P column for each product.Instructions: Enter your answers rounded to one decimal place.Price of Good A = $8Price of Good B = $4MU of Good B,Units ofGood AMU of Good A,Units ofGood BMU/P for AMU/P for Butilsutils15613224828332324424420520126161071278If Ross has an income of $64, how many units of each good will he purchase to maximize his utility?Instructions: Enter your answers as a whole number.|units of good A|units of good B

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The following table shows the amounts of additional satisfaction (marginal utility) that Ross would get from consuming successive quantities of products A and B. a. Fill in the MU/P column for each product. Instructions: Enter your answers rounded to one decimal place. Price of Good A = $8 Price of Good B = $4 MU of Good A, MU of Good B, Units of Good A Units of Good B MU/P for A MU/P for B utils utils 1 56 1 32 48 2 28 32 3 24 4 24 4 20 20 12 6. 16 6 10 7 12 7 8. If Ross has an income of $64, how many units of each good will he purchase to maximize his utility? Instructions: Enter your answers as a whole number. |units of good A |units of good B

The following table shows the amounts of additional satisfaction (marginal utility) that Ross would get from consuming successive quantities of products A and B. a. Fill in the MU/P column for each product. Instructions: Enter your answers rounded to one decimal place. Price of Good A = $8 Price of Good B = $4 MU of Good A, MU of Good B, Units of Good A Units of Good B MU/P for A MU/P for B utils utils 1 56 1 32 48 2 28 32 3 24 4 24 4 20 20 12 6. 16 6 10 7 12 7 8. If Ross has an income of $64, how many units of each good will he purchase to maximize his utility? Instructions: Enter your answers as a whole number. |units of good A |units of good B

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The following table shows the amounts of additional satisfaction (marginal utility) that Ross would get from consuming successive quantities of products A and B. a. Fill in the MU/P column for each product. Instructions: Enter your answers rounded to one decimal place. Price of Good A = $8 Price of Good B = $4 Units of MU of Good A, Units of MU of Good B, MU/P for A MU/P for B Good A utils Good B utils 1 64 1 40 2 56 36 3 48 32 4 40 4 28 5 32 24 6. 24 6 20 7 16 7 16 If Ross has an income of $56, how many units of each good will he purchase to maximize his utility? Instructions: Enter your answers as a whole number. units of good A units of good B
Define and explain the relationship between total utility, marginal utility, and the law of diminishing marginal utility.
Suppose Lucia has to choose between purchasing high-definition televisions and water. Which of the following is the utility-maximizing rule that Lucia should follow while choosing the optimal quantities of these two goods? (Note: In the answer options that follow, MU stands for "marginal utility.") DO (MU of Water) x (Price of Water) - (MU of HDTVs) x (Price of HDTVs) O MU of Water - MU of HDTVs MU of HDTVs MU of Water Price of HDTVs Price of Water O MU of Water Price of Water MU of HDTVs Price of HDTVs Since water costs little and high-definition televisions are expensive, it must follow that when people choose their optimal quantities of water and high-definition televisions to purchase, the marginal utility they receive from the last high-definition television they buy is than the marginal utility they receive from the last gallon of water they buy.
Q6) Utility Ratio and Consumption Maximization A consumer downloads 3 movies and 4 apps per week. Suppose the price is $2 per movie and $2 per app, and the marginal utility for this consumption level is 6 for a movie and 8 for an app. Instructions: Round your responses to one decimal place. a. Calculate, show the formula, marginal utility per dollar. ..Per movie ......Per app b. Is this optimal consumption? c. If not, how should they change their consumption to maximize?
The term “law of diminishing marginal utility” used in explaining downward sloping demand curves, others things constant, is best described by which of the following statements? The total satisfaction you obtain from consuming a good tends to fall. The average satisfaction you obtain from consuming a good tends to fall. The additional satisfaction you obtain from consuming an additional unit of a good tends to fall. The total satisfaction you obtain from the good tends to rise.
Refer to the following figure. Marginal Utility Marginal Utility (A) Avocados per week (C) Avocados per week Marginal Utility (B) Avocados per week Marginal Utility (D) Avocados per week Geri likes avocados; each additional avocado she consumes adds as much to her total utility as did the previous one. Which of the four graphs best represents Geri's marginal utility curve for avocados?
Tom has a budget of $44 per week that he can spend on Ramen and/or steak burritos. Each burrito costs $10 and each bowl of Ramen is $6. Using the table below, what combination of these two goods will maximize Tom’s utility given his budget constraint?
Explain the difference between marginal utility and total utility
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Refer to the following table. Suppose strawberries cost $1 and apples cost $2. SHow all the formulas used and your calculations. What is marginal utility (MU) of the 3rd apple? What is marginal utility (MU) of 6th strawberry? What is the marginal utility per dollar spent on the 3th apple? What is the marginal utility per dollar spent on the 6th strawberry? Which of the combinations of strawberries and apples satisfies the following rule? How do you know?
Which of the following statement is TRUE Group of answer choices As the consumption of a good increases, marginal utility rises, but total utility falls. As the consumption of a good increases, total utility falls and marginal utility falls. As the consumption of a good increases, total utility rises, but marginal utility falls.