QUESTION 9 Exhibit 21-3 Apples Oranges Units Units 15 28 39 48 4 5 4 73 85 Refer

Question

QUESTION 9 Exhibit 21-3 Apples Oranges Units Units 15 28 39 48 4 5 4 73 85 Refer to Exhibit 21-3. Linda spends $5 a week on apples and oranges. If the price of both goods is $1 per unit, how many apples and oranges, respectively, does she purchase per week if she wants to maximize her utility? 0 a, 0 and 5 b, 1 and 4 Oc, 2 and 3 o d. 3 and 2 o e.none of the above QUESTION 10 Total satisfaction is maximized when marginal utility 13 postre. O marginal utility is negative O marginal utility is equal to total utility marginal utility is zero. QUESTION 11 Consider the following infomation about a business Diane opened last year price-S6. quantity sold 15.000: implicit cost-S35 000: explicit cost-S60.000. What was Diane's economic profit? o a.-$5,000 b. $5,000 C. $55,000 o d. There is not enough information provided to answer this question. 0 e. S30.000 QUE STION 12 An advantage of a partnerahip over a proprietorship is O limited liability: O that it is easier to dissolve. O that profits are not taxed twice. the ability to take advantage of greater s

Explanation / Answer

Q9. Answer is b. 1 and 4 Explanation: Units TU Apple MU apple TU Orange MU Orange 0 0 0 0 0 1 15 15 22 22 2 28 13 41 19 3 39 11 58 17 4 48 9 73 15 5 55 7 85 12 MU of fourth unit of orange =MU of First unit of apple Q10. Answer is Marginal utility is zero. Q11. Answer is a. -5000 Explanation: sales (15000*6) 90000 Less: Total cost Explicit 60000 Implicit 35000 Economic profit -5000 Q12. Answer is the ability to take advantage of greater specialization.

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

---

---

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