Answer the Question on the Basis of the Following Two

Answer the question on the basis of the following two schedules,which show the amounts of additional satisfaction (marginal utility) that a consumer would get from successive quantities of products J and K. $\begin{array}{c}\begin{array}{ccc}Unit&&\\\text { of } J & & M U_{j} \\\hline1 & & 56 \\2 & & 48 \\3 & & 32 \\4 & & 24 \\5 & & 20 \\6 & & 16 \\7 & & 12\end{array}\begin{array}{ccc}Unit&&\\\text { of } K & & M U_{k} \\\hline1 & & 32 \\2 & & 28\\3 & & 24\\4 & & 20\\5 & & 12\\6 & & 10\\7 & & 8\end{array}\end{array}$ Refer to the data.What level of total utility is realized from the equilibrium combination of J and K,if the consumer has a money income of $52 and the prices of J and K are $8 and $4 respectively?

A) 156 utils
B) 124 utils
C) 276 utils
D) 36 utils

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free