Question

Suppose the total utilities (TU) id terms of monetary values for a consumer to consume six slices of pizza (q) are TU = $10, $18, $25, $30, $32, $32 when q increases from q = 1 to q = 6. Suppose also that each slice of pizza cost $3, this consumer should stop eating pizza after the:

A. 2nd slice

B. 3rd slice

C. 4th slice

D. 5th slice

e. 6th slice

Answer 1

firstly we need to Carcelle Morgired skiting (rad U = charge in Tu (total otility) - Charge in quantity (9) I $10 18 lo 8 32 - so we can see that, as the consumption of 1122a increases then to Mo decreases When it recaches to Zere then the Customer will stop eating due to negable Uning otility value after that Answer: 6th Slice on