Which of the Following Statements Is Correct

question 230

Multiple Choice

Which of the following statements is correct?

• A)When marginal utility is decreasing, an increase in the quantity consumed will decrease total utility.
• B)When marginal utility is positive, an increase in the quantity consumed will decrease total utility.
• C)When marginal utility is positive, an increase in the quantity consumed will increase total utility.
• D)When marginal utility is zero, an increase in the quantity consumed will make total utility zero.

Grasp how personal investment influences loan credibility and project viability.

Realize the importance of monitoring and incentives in mitigating employee moral hazard.

Comprehend the financial implications of riskier investments and the role of interest rates.

Recognize the practical applications of economic theories in real-world scenarios such as music investments and rental car maintenance.

---

Definitions:

Numerically Measurable

Characteristics or quantities that can be quantified or expressed using numbers.

Budget Line

A graphical representation of all possible combinations of two goods or services that a consumer can afford given their income and the prices of the goods, reflecting budgetary constraints.

Price

The amount of money required to purchase a good or service, determined by factors such as supply, demand, and production costs.

Trade

The exchange of goods and services between individuals or entities, either within the same country or internationally.