Marginal Utility Is the

question 120

Multiple Choice

Marginal utility is the

• A)overall satisfaction obtained from consuming a good
• B)additional satisfaction obtained from consuming one more unit of a good
• C)average satisfaction obtained from consuming a good
• D)the change in satisfaction obtained from consuming 1 percent more of a good
• E)additional cost of one more unit of a good

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Definitions:

Treasury Bills

Short-term government securities with maturation periods of one year or less, considered a safe and liquid investment option.

Opportunity Costs

The cost of missing out on the next best alternative when making a decision.

Cash Balance

The amount of cash a company has available at any given time, including bank balances and cash on hand.

Opportunity Cost

The cost of foregoing the next best alternative when making a decision. It represents the benefits that could have been received but were given up to take another course of action.