Question : 11) If Sarah gets 40 units of utility from her : 1241153

 

11) If Sarah gets 40 units of utility from her first piece of toast for breakfast and a total of 70 units from two pieces of toast, then the marginal utility of the first piece is ________ units and the marginal utility of the second piece is ________ units.

A) 40; 70

B) 40; 110

C) 40; 30

D) 40; 35

E) 70; 40

 

Box of doughnuts

Homer’s total utility

1

30

2

55

3

75

4

90

5

100

6

103

 

12) The above table shows Homer’s total utility from boxes of doughnuts. As Homer’s consumption of doughnuts increases,

A) both his total utility and his marginal utility increase.

B) his total utility increases, but his marginal utility decreases.

C) his total utility decreases, but his marginal utility increases.

D) both his total utility and his marginal utility decrease.

E) None of the above answers is correct.

 

13) The above table shows Homer’s utility from boxes of doughnuts. If Homer decreases his consumption of doughnuts from 4 boxes to 3 boxes, his

A) total utility and marginal utility will both decrease.

B) total utility will decrease, but his marginal utility will increase.

C) total utility will increase, but his marginal utility will decrease.

D) total utility and marginal utility will both increase.

E) None of the above answers is correct.

 

14) The above table shows Homer’s utility from boxes of doughnuts. The marginal utility that Homer receives from the third box of doughnuts is equal to

A) 75.

B) 25.

C) 20.

D) 3.

E) 50.

15) The above table shows Homer’s utility from boxes of doughnuts. As Homer’s consumption of doughnuts increases, his

A) marginal utility is positive and increasing.

B) marginal utility is positive but decreasing.

C) marginal utility is negative but increasing.

D) marginal utility is negative and decreasing.

E) total utility is not related to his marginal utility.

 

 

Quantity of

ice cream

(quarts)

 

Total utility from ice cream

0

0

1

80

2

150

3

210

4

260

 

16) Given the data in the above table, what is the marginal utility of the third quart of ice cream?

A) 80

B) 70

C) 60

D) 230

E) 210

 

17) Given the data in the above table, what is the marginal utility of the second quart of ice cream?

A) 80

B) 70

C) 60

D) 75

E) 150

18) Given the data in the above table, what is the marginal utility of the fourth quart of ice cream?

A) 210

B) 50

C) 60

D) 65

E) 260

 

19) If a consumer’s total utility increases when another unit of a good is consumed, which of the following is true? Marginal utility must be

A) negative.

B) equal to one.

C) positive.

D) increasing.

E) some amount, but more information is needed to determine if marginal utility is positive, negative, or equal to zero.

 

20) Diminishing marginal utility means that as more of a good is consumed,

A) the price of the good rises.

B) the price of the good falls.

C) more income is spent.

D) the utility of an additional unit decreases.

E) the consumption of some other good must diminish.