(Figure: Utility Table 0) Using the information in the table above, what is the missing value at point c?
$\begin{array}{|l|l|l|}
\hline \mathbf{Q} & \mathrm{TU} & \mathrm{MU} \
\hline 0 & 0 & 0 \
\hline 1 & 12 & b \
\hline 2 & 20 & c \
\hline 3 & d & 2 \
\hline 4 & e & 1 \
\hline
\end{array}$
A) 8
B) 11
C) 23
D) 28

Question

(Figure: Utility Table 0) Using the information in the table above, what is the missing value at point c?
 $\begin{array}{|l|l|l|}
\hline \mathbf{Q} & \mathrm{TU} & \mathrm{MU} \
\hline 0 & 0 & 0 \
\hline 1 & 12 & b \
\hline 2 & 20 & c \
\hline 3 & d & 2 \
\hline 4 & e & 1 \
\hline
\end{array}$
A) 8
B) 11
C) 23
D) 28

Quizplus · Accepted Answer

The missing value at point c represents the marginal utility (MU) of consuming the second unit of the good. Marginal utility is the change in total utility (TU) from consuming one additional unit. From the table, the total utility of consuming 1 unit is 12, and the total utility of consuming 2 units is 20. Therefore, the marginal utility of the second unit (point c) is the change in total utility from consuming one unit to two units, which is $20 - 12 = 8$.

(Figure: Utility Table 0) Using the Information in the Table