Assume That the Marginal Utilities for the First Three Units

question 142

Multiple Choice

Assume that the marginal utilities for the first three units of a good consumed are 200, 150, and 125, respectively.The total utility for the first unit is:

• A) 125.
• B) 150.
• C) 200.
• D) 350.

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Definitions:

Financial Advantage

The benefit gained in financial terms that puts an individual, company, or country in a better position compared to others.

Special Order Units

Units that are produced or modified specifically as per the customer's specifications, often requiring a deviation from the normal production process.

Annual Financial Advantage

The financial benefit that is realized on an annual basis from a particular investment or action, compared to alternative options.

Accepting Order

The process of agreeing to fulfill a customer's request for goods or services.