Troy has preferences for laptops (L), and drones (D). Laptops costs $750 a unit and drones costs $2000 a unit. Troy has $15000 to spend on both goods. a.  Give the equation for Troy’s budget line. If drones are on the vertical axis, what is the slope of the budget line? b.  Troy is a utility maximizer. Describe the utility maximization condition. Using the available information at what value is utility expected to be maximized.

Q: Complete the following table and answer the questions below: a. At which rate is total utility…

A: Total utility (TU) is the sum total of all utilities which a rational consumer derives by consuming…

Q: Would you expect marginal utility torise or fall with additional consumption of a good? Why?

A: The utility is something that a consumer gains after consuming a good or a product. It is measured…

Q: Explain one difference and one example between the Cardinal utility and ordinal utility!

A: Cardinal utility is a Marshallian concept used along with an ordinal utility to gauge the…

Q: Douglas allocates his budget of $24 per week to 3 goods, cereal, books and clothing. Use the table…

A: Utility is maximised at a point where marginal utility per dollar for all the goods are equal.

Q: Explain why it is that as the consumer purchases more of a good, her marginal utility falls while…

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

Q: Currently, Paula is maximizing utility by purchasing five TV dinners (T) and four Lean Cuisine Meals…

A: A budget constraint is a fundamental concept in economics that represents the limitations imposed on…

Q: True/False Marginal utility keeps falling with the each additional consumption of a good or…

A: Economists uses the concept of marginal utility to determine how much of a product consumers are…

Q: Quarts of ice cream Total utility from ice cream 0 0 1 80 2 150 3 210…

A: We are authorized to answer one question at a time, since you have not mentioned which question you…

Q: What does the assumption that More Is Better implies about Marginal Utility? Explain?

A: MU(marginal utility) is the change in TU(total utility) when an additional unit of good is consumed.…

Q: Jamani earns a weekly income of $6000. Suppose he wishes to spend this  income on two goods, games…

A: The utility function displays all commodity bundles with the same utility level. The indifference…

Q: Calculate marginal utility and marginal utility per dollar for the data provided in the table below:…

A: Price of wine =3 Price of cheese= 0.14 Budget= 9.69 Marginal Utility: Change in Total utility the…

Q: Candy Chocolate Candy Total Utility (utils) 0 27 Bars 0 1 2 3 4 5 6 60 76 Marginal Utility (utils)…

A: Total utility is the total satisfaction a consumer is getting from consumption of  a…

Q: ос

A: Utility maximizing condition at given budget constraints Slope of Budget line= Slope of indifference…

Q: Assume that you only buy two goods, fish and Fanta soda. You are analyzing your personal consumption…

A: Income=$80 PFISH=$5 PFANTA= $2

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: The table shows Jerry's total utility from lottery tickets and candy bars. The price of a lottery…

A: Marginal utility measures the change in total utility to the change in quantity consumed.  i.e.,…

Q: A consumer downloads 3 movies and 4 apps per week. Suppose the price is $2 per movie and $2 per app,…

A: Given: Marginal utility per Movie = 6 Price per movie = $2 Marginal utility per app = 8 Price per…

Q: Refer to the information provided in table below. a. If the price of a cinema ticket is 20 TL, the…

A: Given diagram shows the budget line of the consumer. BB is the budget line, X axis shows concert…

Q: Roy has preferences for laptops (L), and drones (D). Laptops costs $750 a unit and drones costs…

A: Note:- Since we can only answer up to three subparts, we'll answer the first three. Please repost…

Q: Movies Total Utility Yoga Classes Total Utility 1 75 30 90 55 3 100 3. 76 108 92 5 113 106 6. 114 7…

A: A rational consumer always tries to maximize his/her utility. The utility of a customer gets…

Q: Ari intends to purchase a new car and has narrowed it down to a Dodge Ram truck or a Toyota Camry. A…

A: Introduction  Marginal utility refers to the additional utility derived from the consumption of an…

Q: utility

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

Q: Anatoly's marginal utility for DVDS (D) is MU X and his marginal utility for Xbox games (X) is MUx…

A: Answer - Given in the question  -Anatoly's marginal Utility of DVD's (D) MUD = XAnatoly's marginal…

Q: The marginal utility for shoes and coffee is given below for five individuals. A pair of shoes costs…

A: Based on the table showing the marginal utility of shoes and coffee, here is who is optimizing and…

Q: Describe Marginal Utility and Diminishing Marginal Utility? Include a detailed example using a…

A: Marginal utility is defined as the satisfaction level received when consumer consume some level of…

Q: Suppose utility can be measured by "utils" and that Jim buys both coffee and bagels. The price of…

A: Marginal utility refers to additional utility gained from consuming an additional unit of the good.

Form Utility

The term utility in general refers to the satisfaction earned from usage of a particular product or service. Utility always plays an important role because it influences various important elements like demand & thereby the price of the good or service as well. Though utility is not easy to measure, various types of economic models can be used indirectly. There can be various types of utilities like economic utility, marginal utility, cardinal utility, form utility.