hand write..solve 15 mins. I'll give you multiple upvote [16] Operating in the short run with one fixed input and one variable input, the marginal product of thevariable input is given as: MP = 10- X, where X is the quantity of the input. Suppose the output price equals3 and the price of the variable input equals 15. Interested in maximizing profit, the firm should utilizeunits of the variable input.A.В.3C.D.9.8[17] A wheel of cheddar cheese costs Amrit $40, and a night at a Broadway show costs him $100(including the ticket, parking, etc.). Suppose when Amrit maximizes his utility, subject to his budgetconstraint, his marginal utility from cheddar cheese is 8. Therefore, his marginal utility from a Broadwayshow must equal:A.В.3.220C.50D.100[18] Mr. Solow has an income of $20 which he is spending on wine and cheese in such amounts that hederives 25 utils of total satisfaction from the wine and 25 utils of total satisfaction from the cheese. Supposethe prices of wine and cheese are each S1. On the basis of this information we:A.cannot say whether or not Solow is buying wine and cheese in amounts that maximize his totalutility.can say that Solow should buy more cheese and less wine.can say that Solow should buy more wine and less cheese.can say that Solow is buying the utility-maximizing amounts of wine and cheese.В.C.D.[19] For Anandi, Pepsi is a good for which marginal utility is diminishing Accordingly, if the price ofPepsi increases, then the resulting decline in Anandi's quantity of Pepsi purchased will:necessarily increase her total utility from consuming Pepsinecessarily increase her marginal utility from consuming Pepsinecessarily decrease her total expenditures devoted to PepsiAll of the aboveA.B.C.D.

(16) Answer: Given Information, Marginal Product (MP) = 10 - X Output price = 3 Variable Price (Let…

[16] Operating in the short run with one fixed input and one variable input, the marginal product of the variable input is given as: MP= 10 - X, where X is the quantity of the input. Suppose the output price equals 3 and the price of the variable input equals 15. Interested in maximizing profit, the firm should utilize units of the variable input. A. В. 3 C. D. 9.8 [17] A wheel of cheddar cheese costs Amrit $40, and a night at a Broadway show costs him $100 (including the ticket, parking, etc.). Suppose when Amrit maximizes his utility, subject to his budget constraint, his marginal utility from cheddar cheese is 8. Therefore, his marginal utility from a Broadway show must equal: A. B. 3.2 20 C. 50 D. 100

[16] Operating in the short run with one fixed input and one variable input, the marginal product of the variable input is given as: MP= 10 - X, where X is the quantity of the input. Suppose the output price equals 3 and the price of the variable input equals 15. Interested in maximizing profit, the firm should utilize units of the variable input. A. В. 3 C. D. 9.8 [17] A wheel of cheddar cheese costs Amrit $40, and a night at a Broadway show costs him $100 (including the ticket, parking, etc.). Suppose when Amrit maximizes his utility, subject to his budget constraint, his marginal utility from cheddar cheese is 8. Therefore, his marginal utility from a Broadway show must equal: A. B. 3.2 20 C. 50 D. 100

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter10: Cost Functions

Section: Chapter Questions

Problem 10.4P

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