Exhibit 5-2 -Refer to Exhibit 5-2. the Marginal Utility of the Third

question 93

Multiple Choice

Exhibit 5-2
-Refer to Exhibit 5-2. The marginal utility of the third unit is

• A)smaller than the marginal utility of the second unit.
• B)smaller than the marginal utility of the fourth unit.
• C)smaller than the marginal utility of the fifth unit.
• D)smaller than the marginal utility of the sixth unit.
• E)impossible to calculate given the available information.

---

Definitions:

Warranty Repairs

Services to repair or replace parts of a product free of charge within a specific timeframe, as provided for under a warranty agreement.

Product Warranty Expense

The estimated cost of repairing or replacing products under warranty, recognized as an expense by a company.

Sales

This refers to the total revenue a company generates from selling goods or services to customers within a specific period.

Medicare Tax

A payroll tax that funds the Medicare program, which provides health insurance for eligible elderly and disabled individuals.