Refer to the accompanying figure to answer the questions that follow.MarginalUtility30252015105.1.3 46-7Number ofCupcakesTotal utility is maximized at the:O A) first cupcake.B) seventh cupcake.C) sixth cupcake.D) eighth cupcake

Utility is maximized at seventh cupcake.

Refer to the accompanying figure to answer the questions that follow. Marginal Utility 30 25 20 15 10 5. 1. 2. 3 4 5 6 7 8 9 Number of Cupcakes Total utility is maximized at the: O A) first cupcake. O B) seventh cupcake.

Refer to the accompanying figure to answer the questions that follow. Marginal Utility 30 25 20 15 10 5. 1. 2. 3 4 5 6 7 8 9 Number of Cupcakes Total utility is maximized at the: O A) first cupcake. O B) seventh cupcake.

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter20: Consumer Choice: Maximizing Utility And Behavioral Economics

Section20.1: Utility Theory

Problem 2ST

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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.

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