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(Table: Utility from Candy Bars and Sodas) Look at the Table

question 107

Essay

(Table: Utility from Candy Bars and Sodas) Look at the table Utility from Candy Bars and Sodas.Stan is choosing between two goods, candy bars and sodas, and his marginal utility from each is as shown in the table.If he consumes two candy bars and two sodas, his total utility will be equal to:
A.15 utils.
B.33 utils.
C.18 utils.
D.78 utils.


Definitions:

Maturity Value

The total amount payable to an investor at the end of a fixed-term investment, including the principal and the interest.

Strip Bond

A fixed-income security that is created by separating the principal and interest payments of a longer-term bond, selling them as individual zero-coupon bonds.

Yield Rate

Yield rate represents the earnings generated and realized on an investment over a particular period, expressed as a percentage.

Compounded Semi-annually

Pertains to the process of adding interest to the principal sum of a loan or deposit on a twice-yearly basis, allowing the interest to also earn interest at these intervals.

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