If a consumer receives 20 units of utility from consuming two chocolate bars, and 25 units of utility from consuming three chocolate bars, the marginal utility of the third chocolate bar is
A)25 utility units.
B)20 utility units.
C)5 utility units.
D)unknown as more information is needed to determine the answer.

Question

Quizplus · Accepted Answer

The marginal utility of the third chocolate bar can be calculated by finding the change in total utility from consuming three chocolate bars compared to consuming two chocolate bars. The change in total utility is 25 - 20 = 5 utility units, so the marginal utility of the third chocolate bar is 5 utility units.

If a Consumer Receives 20 Units of Utility from Consuming