Asked by Brayan Checo Rosario on Apr 25, 2024
Karen O'Brien has the demand schedule for grapefruit shown in the table below.
A)Her total utility for four grapefruits would be ____.
B)Her marginal utility from the fifth grapefruit would be ____.
C)If the price were 40 cents,her consumer surplus would be ____.
Price Quantity Demand Marginal Utility Total Utility $1.001$.702$.503$.404$.255\begin{array} { | c | c | c | c | } \hline \text { Price } & \text { Quantity Demand } & \text { Marginal Utility } & \text { Total Utility } \\\hline \$ 1.00 & 1 & & \\\hline \$ .70 & 2 & & \\\hline \$ .50 & 3 & & \\\hline \$ .40 & 4 & & \\\hline \$ .25 & 5 & & \\\hline\end{array} Price $1.00$.70$.50$.40$.25 Quantity Demand 12345 Marginal Utility Total Utility
Total Utility
The overall satisfaction or pleasure a consumer derives from consuming a certain amount or combination of goods and services.
Marginal Utility
The supplementary enjoyment or advantage gained by consuming one more unit of a good or service.
Consumer Surplus
The differentiation between the total investment consumers are willing and able to make in a product or service and the investment they end up making.
- Acquire knowledge about the concept of marginal utility and its role in shaping consumer selections.
- Ascertain the overall utility based on the given data.
- Ascertain marginal utility by examining changes in total utility.
Learning Objectives
- Acquire knowledge about the concept of marginal utility and its role in shaping consumer selections.
- Ascertain the overall utility based on the given data.
- Ascertain marginal utility by examining changes in total utility.