(a)
MUx = Change in TUx / Change in Q
MUy = Change in TUy / Change in Q, Therefore Change in TUy = Change in Q x MUy
Q | TUx | MUx | TUy | MUy |
0 | 0 | 0 | 0 | |
1 | 7 | 7 | 4 | 4 |
2 | 13 | 6 | 14 | 10 |
3 | 18 | 5 | 22 | 8 |
4 | 22 | 4 | 28 | 6 |
5 | 25 | 3 | 32 | 4 |
6 | 27 | 2 | 34 | 2 |
7 | 27 | 0 | 34 | 0 |
8 | 26 | -1 | 33 | -1 |
9 | 25 | -1 | 31 | -2 |
10 | 23 | -2 | 28 | -3 |
(b)
TUx & MUx Graph:
TUy & MUy Graph:
(c) Point of Saturation is at that level of Q for which TU is maximized & MU is zero.
For X, this is when Q = 7
For Y, this is when Q = 7
This is marked as the Boldened row in table & the arrow in the graphs.
(d) At initial levels of Q, TU increases but with decreasing slope. Therefore, MU starts decreasing. When TU is maximized, MU is zero and when TU starts to fall, MU becomes negative.
NOTE: As HOMEWORKLIB Answering Guidelines, 1st 4 parts are answered.
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