One relationship between marginal utility and total utility. When the total is?

A. rising, marginal utility is rising
B. falling, marginal utility is negative
C. maximum, marginal utility is maximum
D. falling, marginal utility is rising

Correct Answer: Option B

B. falling, marginal utility is negative

Explanation

The following are the various relationships between total and marginal utility.

• When marginal utility is positive, total utility increases
• \When marginal utility is zero, total utility is at maximum
• When marginal utility is negative, total utility decreases