Suppose That Your Demand Schedule for Jeans Is Shown in the Table

question 93

Essay

Suppose that your demand schedule for jeans is shown in the table below.
A)Your total utility from 5 pairs of jeans would be ____.
B)Your marginal utility for the fifth pair would be ____.
C)If the price of jeans were $10 a pair,your consumer surplus would be ____.
$$\begin{array} { | c | c | c | c | } \hline \text { Price } & \text { Quantity Demanded } & \text { Marginal Utility } & \text { Total Utility } \\\hline \$ 60 & 1 & & \\\hline \$ 50 & 2 & & \\\hline \$ 40 & 3 & & \\\hline \$ 25 & 4 & & \\\hline \$ 10 & 5 & & \\\hline\end{array}$$

• A)Your total utility from 5 pairs of jeans would be ____.
• B)Your marginal utility for the fifth pair would be ____.
• C)If the price of jeans were $10 a pair,your consumer surplus would be ____.
• \[\begin{array} { | c | c | c | c | }
• \hline \text { Price } & \text { Quantity Demanded } & \text { Marginal Utility } & \text { Total Utility } \\
• \hline \$ 60 & 1 & & \\
• \hline \$ 50 & 2 & & \\
• \hline \$ 40 & 3 & & \\
• \hline \$ 25 & 4 & & \\
• \hline \$ 10 & 5 & & \\
• \hline
• \end{array}\]

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Definitions:

Strip Bonds

Bonds that have had their principal and coupon payments separated, creating individual securities from each interest payment and the principal.

Compound-Interest GIC

A Guaranteed Investment Certificate where the interest earned is compounded at regular intervals, allowing the investment to grow at a faster rate compared to simple interest.

Maturity Value

The amount to be paid to the holder of a financial instrument at the end of its term or at maturity.

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A numerical monetary value specified in units of currency, specifically the United States dollar.