As More of a Good Is Consumed by an Individual

question 141

Multiple Choice

As more of a good is consumed by an individual,

• A)marginal utility increases.
• B)total utility initially increases.
• C)price falls.
• D)price increases.
• E)total utility stays constant.

---

Definitions:

Current Sales

The total sales revenue that a company generates in the present or most recent accounting period.

Operating Leverage

A measure of how sensitive a company's operating income is to changes in sales volume, indicating the degree of fixed versus variable costs.

Percentage Change

A mathematical calculation that depicts the degree of change over time, usually expressed as a percentage.

Break-Even

The point at which total costs and total revenue are equal, meaning there is no net loss or gain, and one has "broken even."