Total utility
A)is the total amount of satisfaction derived from consuming a particular quantity of a good.
B)remains constant as the number of units consumed increases.
C)is the change in satisfaction derived from consuming each extra unit of a good.
D)declines as the number of units consumed increases.

Question

Quizplus · Accepted Answer

Total utility is the overall satisfaction derived from consuming a certain quantity of a good. Therefore, option A correctly defines total utility. Option B is incorrect because total utility may increase or decrease as the number of units consumed increases. Option C describes marginal utility, which is the change in satisfaction resulting from the consumption of an additional unit of a good. Option D is incorrect since total utility may increase, remain constant, or decrease as the number of units consumed increases, depending on the good and the consumer's preferences.

Total Utility