Quantity of Hot Marginal Utility from Cocoa Hot Cocoa 1 2 3 4 5 8 2 8 7 16 Utility of Hot Cocoa and Donuts 6 5 1 2 3 4 5 Quantity of Donuts Marginal Utility from Donuts 10 The price of hot cocoa is $2 and the price of a donut is $1. What is the marginal utility per dollar for two donuts? 8 6 4 3

7. Bob receives utility from days spent traveling on vacation domestically (D) and daysspent traveling in a foreign country (F) as given by the utilityU(D; F) = DFThe price of a day spent traveling domestically is 160 pounds and in a foreigncountry 200 pounds. Bobís annual budget for traveling is 8000 pounds. (a) Find Bobís utility maximising choice of days traveling domestically and of daystravelling in a foreign country. Find also his utility level from consuming thatbundle.  Suppose that the price of domestic traveling increases to 250 pounds per day.Denoting his budget for traveling x, (suppose by now that it is unknown) findthe demand for D and F under the new prices as a function of x.

QUESTION 7 Carl's Marginal Utility for consuming beer and pizza with $8.00 in income Quantity Marginal of Hotdogs Utility 45 Quantity of Marginal Utility 40 Beer 1 40 40 30 35 4. 15 4. 10 -5 In the above table, how many hotdogs and beers will Carl consume if the price of one hotdog is $2.00 and the price of a beer is $2.00? O 1 hotdog and 3 beers O 2 hotdogs and 3 beers O 2 hotdogs and 2 beers O 3 hotdogs and 1 beer

Question 5 The following schedules show the amounts of additional satisfaction (marginal utility) that a consumer derives from successive quantities of products X and Y, if this consumer has an income of $18 and the prices of X and Y are $2 and $4 respectively Units of X TUMU MU /SUnits of Y TUMUMU /S 00 20 48 38 2 88 120 144 160 168 172 3 54 3 4 68 4 5 80 90 6 7 98 7 FIND: 1- The consumer maximize utility by purchasing If the consumer income changed to $26 -2