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? Strawberries01234567Total Utility from consumption of Apples and StrawberriesConsumedTotal UtilityApples Consumed0713182225272801234567Total Utility014263644505456

Marginal utility is the change in utility with an additional unit of consumption. MU per dollar is…

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?

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?

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter6: Consumer Choice Theory

Section: Chapter Questions

Problem 4SQP

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Question

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?

Strawberries
0
1
2
34567
Total Utility from consumption of Apples and Strawberries
Consumed
Total Utility
Apples Consumed
0
7
13
18
22
25
27
28
0
1
2
3
4567
Total Utility
0
14
26
36
44
50
54
56

Definition Definition Satisfaction derived from the consumption of an additional unit of any commodity.

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