Adhira Buys Chocolates and Almonds

question 145

Multiple Choice

Adhira buys chocolates and almonds.She has 3 bars of chocolates and 4 bags of almonds.The marginal utility of the third chocolate bar is 18 units of utility and the marginal utility from the fourth bag of almonds is also 18.Is Adhira maximizing her utility?

• A)Yes, the marginal utility from the last unit of each good is equal.
• B)No, she must buy 1 more chocolate bar to equate her quantities of the two goods.
• C)No, she must cut back to 3 bags of almonds to equate her quantities of the two goods.
• D)No, without information on her income and the prices of the two goods, we cannot answer the question.

Recognize the significance of risk-free arbitrage opportunities in mispriced options.

Understand and apply the principles of effective PR writing, including style, grammar, and the use of AP style guidelines.

Recognize the primary tactics and tools for disseminating news and information to the media.

Identify the role and impact of communications models in PR practices.

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Definitions:

Economies of Scale

A concept in economics that describes the cost advantage that arises with increased output of a product, leading to a decrease in the per-unit fixed cost as the scale of production is enlarged.

Downturn in Economy

A period when economic activity is declining, marked by decreased spending and increased unemployment.

Regulatory Changes

Modifications or updates to the rules and regulations that govern industry practices and standards.

Market Competition

The rivalry among businesses to attract customers, aiming to increase market share by offering better products, prices, or services.