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If the price of an apple is \( \$ 0.50 \), the marginal utility per dollar spent on the fifth apple is:

Ask by Jimenez Ortega. in the United States
Feb 19,2025

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Answer

To find the marginal utility per dollar spent on the fifth apple, divide the marginal utility of the fifth apple by its price (\$0.50). However, the marginal utility value is needed to perform the calculation.

Solution

To find the marginal utility per dollar spent on the fifth apple, we need to know the marginal utility (MU) of the fifth apple. The marginal utility is the additional satisfaction or benefit gained from consuming one more unit of a good. The formula for marginal utility per dollar spent is: \[ \text{Marginal Utility per Dollar} = \frac{\text{Marginal Utility}}{\text{Price}} \] Given: - Price of an apple, \( P = 0.50 \) However, we need the marginal utility of the fifth apple to proceed. If you have that value, please provide it, and I can calculate the marginal utility per dollar spent for you.

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To find the marginal utility per dollar spent on the fifth apple, you first need the marginal utility (MU) of that fifth apple. The marginal utility is the additional satisfaction gained from consuming one more unit. If the marginal utility of the fifth apple is, say, \( MU = 2 \), you would calculate the marginal utility per dollar spent as follows: \[ \text{Marginal Utility per Dollar} = \frac{\text{MU}}{\text{Price}} = \frac{2}{0.50} = 4. \] So, if the marginal utility of the fifth apple is indeed 2, then the marginal utility per dollar would be 4. Now, if you don’t have the marginal utility figure, it’s like trying to solve a puzzle without all the pieces! To determine this, ensure you’re measuring the satisfaction (utility) of each apple as you consume more, which will help you find the right MU for accurate calculations.

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