Given that the following marginal utility schedule for commodity Y and commodity Z belong to Mr. Yaro, and that the price of Y and the price of Z are both N2, and Mr. Yaro spends all his income of N12 on both commodities Y and Z.
Q 1 2 3 4 5 6 7
MUy 16 13 10 6 4 3 1
MUz 14 10 8 5 3 2 1
a. Indicate how much of Y and Z, Mr. Yaro should purchase to maximize utility? b. Show that the condition for constrained utility maximization is satisfied when Mr. Yaro is at his optimum?
c. Determine how much total utility Mr. Yaro receives when he maximizes utility? d. How much utility would he get if he spend all his income on Y and Z.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Given that the following marginal utility schedule for commodity Y and commodity Z belong to Mr. Yaro, and that the price of Y and the ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
lucy invests $800 in an account that earns 6.12% annual interest compounded continuously. juan invests $1600 in an account that earns 3.9% annual interest compounded continuously.
Answers (1)
If firms in a monopolistically competitive industry are earning economic profits, then in the long run: a. these firms can continue earning economic profits because entry into the industry is blocked. b.
Answers (1)
If the contract does not indicate where the goods will be delivered, then the place of delivery will be one of the following: a) the; b) the seller's, if the seller has no business location;
Answers (1)
Management by walking around (MBWA) refers to an old strategy that results in ineffective upward communication. a practice in which executives get out of their offices and learn from others in the organization through casual face-to-face dialogue.
Answers (1)
Gould Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products: Activity Cost Pool Activity Rate Setting up batches $59.06 per batch Processing customer orders $72.
Answers (1)
New Questions in Business
Forlornistan is a country in the midst of a serious economic downturn. Forlornistan's GDP has declined steadily for over three years and is now at its lowest level in over sixty years.
Answers (1)
For Year 2, Etzkorn Corporation's sales were $1,480,000, its gross margin was $580,000, its net operating income was $63,714, its net income before taxes was $42,714, and its net income was $29,900.
Answers (1)
An insured purchased an insurance policy 5 years ago. last year, she received a dividend check from the insurance company that was not taxable. this year, she did not receive a check from the insurer.
Answers (1)
An investor shorts 100 shares when the share price is $50 and closes out the position six months later when the share price is $43. The shares pay a dividend of $3 per share during the six months. What is the investor's profit or loss? a.
Answers (1)
Which term refers to the beginning of the constitution?
Answers (1)