Jane has a budget of $15 to spend at the local scientific store.Her two favorite items are beakers (Product X) which cost $3 andpetri dishes (Product Y) which cost $2. In the schedule below youcan see the marginal utility for each of her favorite items. Whichcombination would maximize Jane's utility?
Product X
Product Y
Quantity
MUx
Quantity
MUy
1
32
1
24
2
28
2
20
3
24
3
16
4
5
4
12
5
16
5
8
4 Beakers and 1 petri dishes
5 Beakers and 0 petri dishes
Jane has a budget of $15 to spend at the local scientific store.Her two favorite items are beakers (Product X) which cost $3 andpetri dishes (Product Y) which cost $2. In the schedule below youcan see the marginal utility for each of her favorite items. Whichcombination would maximize Jane's utility?
|
Product X |
Product Y |
||
|
Quantity |
MUx |
Quantity |
MUy |
|
1 |
32 |
1 |
24 |
|
2 |
28 |
2 |
20 |
|
3 |
24 |
3 |
16 |
|
4 |
5 |
4 |
12 |
|
5 |
16 |
5 |
8 |
4 Beakers and 1 petri dishes
5 Beakers and 0 petri dishes
Related textbook solutions
Related questions
Answer the question based on the table below showing the marginal utility schedules for product X and
product Y for a hypothetical consumer. The price of product X is $4 and the price of product Y is $2. The
income of the consumer is $20.
|
Product X |
Product Y |
||
|
Quantity |
MUx |
Quantity |
MUy |
|
-- |
-- |
||
|
1 |
32 |
1 |
24 |
|
2 |
28 |
2 |
20 |
|
3 |
24 |
3 |
16 |
|
4 |
20 |
4 |
12 |
|
5 |
16 |
5 |
8 |
Refer to the above table. If the consumer buys product X or product Y one unit at a time, which of the following
will the consumer's first two purchases be?
a.) A first unit of X followed by a first unit of Y
b.) A first unit of X followed by a second unit of X
c.) A first unit of Y followed by a first unit of X
d.) A first unit of Y followed by a second unit of Y
I think the right answer is B.) ???
Given the following information: PX =$8, PY = $6; Consumer's Budget (B) = $76
|
Units of X |
TUX |
MUX |
Units of Y |
TUY |
MUY |
|
1 |
48 |
54 |
|||
|
2 |
40 |
102 |
|||
|
3 |
32 |
144 |
|||
|
4 |
24 |
174 |
|||
|
5 |
16 |
192 |
|||
|
6 |
8 |
204 |
|||
|
7 |
0 |
210 |
What combination of X and Y should the consumer buy?
What is the combined total utility from that combination of X and Y (TUX+Y)
How much the consumer spent on X and Y
| Units of x | MUx | Units of y | MUy |
|---|---|---|---|
| 1 | 23 | 1 | 18 |
| 2 | 16 | 2 | 16 |
| 3 | 12 | 3 | 14 |
| 4 | 8 | 4 | 10 |
| 5 | 4 | 5 | 8 |
| 6 | 2 | 6 | 4 |
You are choosing between two goods, X and Y, and your marginal utility from each is as shown above.
Instructions: Enter your answers as whole numbers.
a. If your income is $9.00 and the prices of X and Y are $2.00 and $1.00, respectively, what quantities of each will you purchase to maximize utility? X =___ units.Y =___ units.
b. What total utility will you realize? _______ .
c. Assume that other things remaining unchanged, the price of X falls to $1.00. What quantities of X and Y will you now purchase? X = __units. Y =__ units.
d. Using the two prices and quantities for X derive a demanding schedule (a table showing prices and quantities demanded) for X.
| Price | Quantity demand |
| ? | ? |
| ? | ? |
