Question : What formula is used to calculate marginal utility?

Option 1: MU/Q

Option 2: TU/Q

Option 3: Q/MU

Option 4: Q/TU

Question : Indifference curves are concave to the origin because of:

Option 1: Diminishing marginal utility

Option 2: Increasing marginal utility

Option 3: Constant marginal utility

Option 4: Zero marginal utility

Question : The consumer's equilibrium is attained at the point where:

Option 1: Marginal utility is zero

Option 2: Marginal utility is positive

Option 3: Marginal utility is equal to price

Option 4: Marginal utility is equal to income

Question : The consumer gets maximum satisfaction at the point where:

Option 1: Marginal utility = Price

Option 2: Marginal utility > Price

Option 3: Marginal utility < Price

Option 4: Marginal cost = Price

Question : In the cardinal utility approach, consumer's equilibrium is achieved when:

Option 1: Total utility is maximized.

Option 2: Marginal utility is maximized.

Option 3: Marginal utility equals zero.

Option 4: Marginal utility per dollar spent is equal across all goods.