Score: 0 of 1 pt 16 of 24 (22 complete HW Score: 83 3396, 20 of 24 p checkpoint

Question

Score: 0 of 1 pt 16 of 24 (22 complete HW Score: 83 3396, 20 of 24 p checkpoint 2 Problem 1 Help The table shows Jerry's total utility from lottery tickets and candy bars The price of a lottery ticket is $2, the price of a candy bar is $10, and Jerry has Lottery tickets $20 a week to spend Calculate Jerry's marginal utility from the third lottery ticket and marginal utility per dollar when he buys 3 lottery tickets candy bar and marginal utility per dollar when he buys 1 candy bar >>Answer to 1 decimal place week utility 120 Calculate Jerry's marginal utility from the first 250 450 Jerry's marginal utility from the third lottery ticket is units. 3

Explanation / Answer

1) MU from 3rd lottery ticket = TU from 3rd lottery ticket - TU from 2nd lottery ticket = 300 - 220 = 80 utils

2) MU per dollar = MU from 3rd unit / Price of lottery ticket = 80/2 = 40

3) MU from 1st candy bar = TU from 1st candy bar - TU from 0 candy bar = 250 - 0 = 250 utils

4) MU per dollar = 250/10 = 25

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.