Find out Marginal Utility from the following table:
Units consumed 1 2 3 4 5
Total Utility 10 18 24 28 30
Marginal Utility - - - - -
Answers
Answered by
4
Answer:
Marginal Utility 10 8 6 4 2
Explanation:
marginal utility curve
In a perfectly competitive market, where the margins are very tough, each firm has to take the price as given and can sell as much as it wants at the given price. Profits can be maximized by firms by producing the quantity where its marginal revenue equals its marginal cost. Therefore the marginal utility curve is the short run supply curve of the firm
Marginal utility = total utility difference / quantity of goods difference
Given ;
Units consumed 1 2 3 4 5
Total Utility 10 18 24 28 30
Marginal Utility 10 8 6 4 2
Similar questions