Question

This excel file shows Shane's and Miriam's marginal personal use value associated with a given amount of donuts. Graph the market demand schedule for donuts, assuming that the market consists of only Shane and Miriam. Number of Donuts Shane's Marginal Personal Use Value Miriam's Marginal Personal Use Value

Number of Donuts	Shane's       Marginal Personal Use Value	Miriam's       Marginal Personal Use Value
1	$2.00	$1.50
2	$1.90	$1.45
3	$1.80	$1.40
4	$1.70	$1.35
5	$1.60	$1.30
6	$1.50	$1.25
7	$1.40	$1.20
8	$1.30	$1.15
9	$1.20	$1.10
10	$1.10	$1.05
11	$1.00	$1.00
12	$0.90	$0.95
13	$0.80	$0.90
14	$0.70	$0.85
15	$0.60	$0.80
16	$0.50	$0.75
17	$0.40	$0.70
18	$0.30	$0.65
19	$0.20	$0.60
20	$0.10	$0.55

Answer 1

Market demand for donuts is derived by the sum of marginal benefits for a particular quantity of donuts.

Q	Shane's marginal personal use value	Miriam's marginal personal use value	Market demand
1	$2	$1.50	3.50
2	1.90	1.45	3.35
3	1.80	1.40	3.20
4	1.70	1.35	3.05
5	1.60	1.30	2.90
6	1.50	1.25	2.75
7	1.40	1.20	2.60
8	1.30	1.15	2.45
9	1.20	1.10	2.30
10	1.10	1.05	2.15
11	1	1	2
12	0.90	0.95	1.85
13	0.80	0.90	1.70
14	0.70	0.85	1.55
15	0.60	0.80	1.40
16	0.50	0.75	1.25
17	0.40	0.70	1.10
18	0.30	0.65	0.95
19	0.20	0.60	0.80
20	0.10	0.55	0.65

3.00 ممملمممههمم مسميه 200S مك. Mastet |-00 ا میہ مق چاپ ISI پی اے ا ور پولیام R Quantity (No. of Donuts)