Elaine values the utility of her first cup of coffee at $1; a second cup, $.75; and a third cup, $.50.If Elaine drinks three cups of coffee for breakfast, her total utility is equal to
A)$.50, the value of her last cup of coffee.
B)$1.00, the value of her first cup of coffee.
C)marginal utility.
D)$2.25.
E)$1.50.

Question

Quizplus · Accepted Answer

The total utility of the three cups of coffee would be the sum of the individual utilities of each cup. 
Thus, 1st cup = $1, 2nd cup = $0.75, 3rd cup = $0.50
Total utility = $1 + $0.75 + $0.50 = $2.25

Elaine Values the Utility of Her First Cup of Coffee