Xavier Notices That the Marginal Utility of Working with a Tutor

question 11

Essay

Xavier notices that the marginal utility of working with a tutor seems to fall with each hour the tutor helps him study.If Xavier keeps the tutor until his grade actually begins to fall, his marginal utility will be
A.negative.
B.positive, but rising more slowly.
C.zero.
D.immeasurable.

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Definitions:

Other Revenues

Income from activities that are not part of a company's core business operations.

Interest Expense

The cost incurred by an entity for borrowed funds over a period of time.

Goodwill

An intangible asset representing the excess of the purchase price over the fair market value of an acquired company’s net assets.

Cost Method

An accounting method used to record investments at their original purchase cost, with any changes recognized only when dividends are received or upon sale of the investment.