Which of the following statements is (are) true?
A) As a consumer consumes more and more of a good or service, its marginal utility eventually falls.
B) Utility is a quality inherent in the good or service itself.
C) Marginal utility is the change in total utility resulting from consuming one more or one less unit of a good.
D) Both A and C are true.

Question

Quizplus · Accepted Answer

Statement A is true as it follows the law of diminishing marginal utility, which states that as a consumer consumes more and more of a good or service, the additional satisfaction received from each additional unit eventually starts falling. 
Statement C is also true as it defines marginal utility and its relationship with total utility. The change in total utility resulting from consuming one more or one less unit of a good is what we call marginal utility.

Which of the Following Statements Is (Are) True