1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
irina1246 [14]
3 years ago
8

In spending all his income on beer and pizza, Fred finds that the marginal utility of the last pizza he consumed is 8, and the m

arginal utility of the last bottle of beer is 4. The price of a bottle of beer is $1.50. If Fred has maximized his utility, the price of pizza must be:________.
A. S0.75
B. $1.00
C. $3.00
D. $4.50 98.
Business
2 answers:
bagirrra123 [75]3 years ago
6 0

Answer:

C) $3.00

Explanation:

since Fred has been able to maximize his utility by consuming both pizza and beer, the marginal utility per dollar of pizza and beer must be equal.

The price of a bottle of beer is $1.50 and Fred obtains 4 utils from consuming it. If the marginal utility of pizza is 8 units, it is equivalent to 2 beers. So the price of pizza must equal $1.50 x 2 = $3

maksim [4K]3 years ago
6 0

Answer:

C) $3.00

Explanation:

Utility Maximization can be mathematically illustrated as Marginal Utility of product X ÷ price of product X = Marginal Utility of product Y ÷ price of product Y. Utility maximization involves maximizing utility according to one's income. Here, the products are beer and pizza. The marginal utility of pizza is 8 and its price is unknown which we will assume as "a" while the marginal utility of beer is 4 and its price is $1.50. Using our formula, we replaced the words with figures hence, 4 ÷ $1.50 = 8 ÷ a. We crossmultiply the figures are left with 4a = $12.00. A is then, $1.200 ÷ 4 = $3.00. Therefore, the price of pizza is $3.00

You might be interested in
What are the implications of using criteria, such as baldrige, in assessing organizational culture needs? explain
KIM [24]

The implications of using criteria, such as baldrige, in assessing organizational culture needs to:

-Identify successes and opportunities of organization for improvement.

-Jump and start a new change initiative

-Energize the improvement initiatives

-Energize the workforce by motivating.

-Focus whole organization on common goals

-Assess the performance against the competition

-Align resources with  some strategic objectives

Baldrige self-assessment helps organizations to assess whether they are developing and deploying a good, balanced and systematic approach for running the organization.

No matter the organization is large or small, and no matter your industry or sector, you can use the Baldrige  Criteria to conduct a self-assessment of the organization.

It provides the best way to evaluate how well your organization is meeting its goals and objectives. Organizations use it to evaluate their processes and their impact on results.

To know more about Baldrige criteria here:

brainly.com/question/27960097

#SPJ4

7 0
1 year ago
One method used by some analysts to estimate the future value of a stock is the dividend growth model. This model would probably
Ray Of Light [21]

Answer:

I am sure that it is D. a large cap stock

Explanation:

Large cap stocks already have a positive growth sentiment and

based on how much dividends are paid out they can estimate the future

value of a stock.

8 0
2 years ago
An organization of investors usually in the form of a limited partnership who have joined together for the purpose of pooling ca
Nutka1998 [239]

An organization of investors usually in the form of a limited partnership who have joined together for the purpose of pooling capital for the acquisition of real property interests is known as a Real Estate Syndicate.

An organization is a group of people working together, such as a neighborhood association, charity, union, or business. The word organization can be used to refer to a group or enterprise or the act of forming or establishing something.

An organization is an official group of people such as a political party, business, charity or club. Most of these vocational schools are provided by volunteer organizations. ... Reported by the International Labor Organization. Synonyms: Synonyms for groups, companies, associations, associations, and organizations.

Learn more about organization here:brainly.com/question/19334871
#SPJ4

6 0
1 year ago
When evaluating a new project, firms should include in the projected cash flows all of the following EXCEPT:
saveliy_v [14]

Answer and Explanation:

b. Previous expenditures associated with a market test to determine the feasibility of the project, provided those costs have been expensed for tax purposes.

3 0
3 years ago
What is an argument in favor of a $15 minimum wage
tamaranim1 [39]

The idea for a $15/hour minimum wage is to provide a <u>living wage</u> for employees, meaning that they can meet their basic housing, food, medical, and living expenses when working full time at minimum wage.

7 0
3 years ago
Other questions:
  • यासकी-चान को अपने बेड़ पर चढ़ाने के लिए तोत्तो-चान ने अथक प्रयास
    12·1 answer
  • 1. Purchased raw materials on account $49,400.
    15·1 answer
  • The purpose of the accrual basis of accounting is to:
    8·1 answer
  • A monopolist, unlike a competitive firm, has some market power. It can raise its price, within limits, without the quantity dema
    13·1 answer
  • Dave has been suggested to assume his firm is operating at full capacity and its net fixed assets can be added by any amount. Th
    13·1 answer
  • HELP ASAP NEED THIS
    6·2 answers
  • Which of the following statements is not true concerning Peter Jackson's use of computer-generated imagery in The Lord of the Ri
    11·1 answer
  • Which of the following is a true statement about the call option? It allows investors to purchase stocks at a going rate for a g
    10·2 answers
  • Write a sentence with a word Gross Domestic Product:​
    11·2 answers
  • It is a real problem for us’, said Angnyeta Larson, ‘We now have only ten working days between all the expense claims coming fro
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!