Suppose Chris' Marginal Utility from the First Taco Chris Eats

question 40

Multiple Choice

Suppose Chris' marginal utility from the first taco Chris eats is 15 and Chris' marginal utility from the second taco is 12.One can infer that Chris

• A)has total utility of 2 tacos equal to 27.
• B)should eat only one taco.
• C)has average utility for 2 tacos of 27.
• D)should eat 2 tacos.

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Definitions:

Indifference Curve

A graph showing different combinations of two goods that provide equal satisfaction and utility to the consumer.

Total Utility

The total satisfaction or benefit a consumer receives from consuming a given total quantity of a good or service.

Satisfaction Levels

A measure of how goods or services meet or surpass customers' expectations.

Indifference Curve

A graph that shows a combination of two goods that give a consumer equal satisfaction and utility, representing their preferences.