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erma4kov [3.2K]
3 years ago
13

. As you start consuming potato chips, your marginal utility is very high, but it begins to fall slowly until you've eaten 10 ch

ips. After you have eaten 10 chips, marginal utility decreases even faster with each additional chip. Marginal utility continues to decline until you’ve eaten 49 chips. The fiftieth chip does not give you any additional utility. After 50 chips, your mouth gets so salty that it is unpleasant to eat any more, so marginal utility is actually negative for those chips. How many chips should you eat in order to maximize your marginal utility?
1


10


49


50
Business
1 answer:
scoray [572]3 years ago
6 0

Answer:

The correct answer is 10 chips.

Explanation:

A person is eating chips. Initially, the marginal utility is very high, but after 10 chips it starts declining. It declines till 49 chips and after that it becomes negative.  

We see that the marginal utility derived from the consumption of chips start to decline after consuming 10 chips.

This implies that marginal utility is being maximized at the consumption of 10 chips.  

So the utility-maximizing quantity of chips is 10 chips.

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Answer:

The correct answer is: produce inside its production possibilities frontier.

Explanation:

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Production at this point will be feasible but allocatively inefficient.

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What are the two factors you should consider when choosing which target date fund is best for you?
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2 years ago
Molen Inc. has an outstanding issue of perpetual preferred stock with an annual dividend yield of 7.50% and a par value of $60.
maksim [4K]

Answer:

10.71%

Explanation:

The computation of the required rate of return on this preferred stock is shown below :

The Required return on preferred stock is

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Learn more about money on:

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2 years ago
Required information Kevan, Jerry, and Dave formed Albee LLC. Jerry and Dave each contributed $245,000 in cash. Kevan contribute
steposvetlana [31]

Answer: A: $0.None of the members recognize gain because their debt relief was not in excess of their bases in their LLC interest prior to any debt relief.

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Explanation: check attached file

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3 years ago
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