Suppose a Consumer Wants to Obtain the Highest Possible Satisfaction

question 36

Multiple Choice

Suppose a consumer wants to obtain the highest possible satisfaction from goods purchased on a fixed budget. Which of the following must be equal for all goods?

• A) Total utility.
• B) Marginal utility.
• C) Average utility.
• D) Marginal utility per dollar.

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Definitions:

Account

A record or statement showing the financial transactions and status of an individual or entity with a financial institution.

Days

Units of time equal to 24 hours, used as a measurement of the duration of events or the interval between them.

Term Deposit

A bank deposit with a fixed term and usually a higher interest rate than a savings account, requiring funds to remain deposited for a specific period.

Maturity

The final payment date of a loan or financial instrument at which point the principal (and all remaining interest) is due to be paid.