- Part I Use The Table Below As A Basis For Your Responses 1 Fill In The Table Below 2 Based On The Table How Many H 1 (49.55 KiB) Viewed 43 times
- Part I Use The Table Below As A Basis For Your Responses 1 Fill In The Table Below 2 Based On The Table How Many H 2 (99.46 KiB) Viewed 43 times
- Part I Use The Table Below As A Basis For Your Responses 1 Fill In The Table Below 2 Based On The Table How Many H 3 (69.99 KiB) Viewed 43 times
Part I. Use the table below as a basis for your responses. 1. Fill in the table below. 2. Based on the table, how many hours should the student spend studying per day? 3. Is a five-hour study session a good idea? Briefly explain your answer using marginal utility and total utility analyses. Marginal Utility Quantity (hours of studying) 0 1 2 3 4 5 Total Utility 2. 110 165 c. d. 177 قال له 110 b. 20 0 e. Part I Table
Part II. Use the graph on page 2 as a basis for your responses. 1. Refer to the graph on page 2, assuming no budget constraint, which indifference curve represents the highest total utility that Mrs. Bain can enjoy from consuming days of horseback riding and days of skiing per semester? Justify your answer. Explain using the objective of consumers per the consumer behavior theory and assumption(s) of the Ordinal Utility Approach to support your choice. 2. Given a particular budget, if Mrs. Bain would like to maximize her utility from days of horseback riding and days of skiing per semester, would she choose to consume at point U? Why or why not? 3. Given a particular budget, if Mrs. Bain would like to maximize her utility from days of horseback riding and days of skiing per semester, would she choose to consume at point W? Why or why not? 4. Which bundle of goods will maximize Mrs. Bain's utility given her budget for days of horseback riding and days of skiing per semester? Justify your answer. Be sure to include in your response the condition necessary to theoretically ensure utility maximization given a particular budget. 5. Answer 5.1 to 5.4 given that: Mrs. Bain has a $900 per semester budget for skiing and horseback riding, skiing costs $150/day; and horseback riding costs $200 per day. 5.1 How many days can Mrs. Bain spend horseback riding per semester if she spends her entire budget on horseback riding? 5.2 How many days can Mrs. Bain ski per semester if she spends her entire budget on skiing? 1 5.3 What is the slope (value) of Mrs. Bain budget line? 5.4 In theory, what is the slope (value) of the indifference curve at Mrs. Bain's utility maximization point? Justify your answer.
W 7 6 Ms. Bain maximizes utility (given her budget constraint) at point X, skiing 2 days and spending 3 days horseback riding. 5 S Days of skiing per semester N B Budget line IT Х Curve B U Y Curve A V Curve C 0 7 1 2 3 4 5 6 Days of horseback riding per semester Part II Graph