A. subtract MU from TU
B. Add MU from the various levels
C. multiply MU by the initial TU
D. Divide current MU by previous MU
Correct Answer: Option B
B. Add MU from the various levels
Explanation
“Marginal utility is an addition made to total utility by consuming one more unit of a commodity”.
Total Utility is Summation of Marginal Utilities: in order to get the total utility, you will have to sum up the additional/extra utility (MU) from the given levels of consumption
300 Level Department of Insurance exam questions and detailed answers. Download the answers in document format.…
300 Level Department of Insurance exam questions and detailed answers. Download the answers in document format.…
300 Level Department of Insurance exam questions and detailed answers. Download the answers in document format.…
` 300 Level Department of Insurance exam questions and detailed answers. Download the answers in document…
300 Level Department of Insurance exam questions and detailed answers. Download the answers in document format.…
300 Level Department of Insurance exam questions and detailed answers. Download the answers in document format.…