Question : Which of the following statements is correct regarding the marginal utility of a commodity?

I. It is the change in total utility due to the consumption of one additional unit of a commodity.
II. It diminishes with an increase in consumption of the commodity.

Option 1: Both I and II

Option 2: Only II

Option 3: Only I

Option 4: Neither I nor II

Question : The total utility from 9 units of commodity x is 20 and from 10 units is 15. Calculate the marginal utility from the 10th unit.

Option 1: 0.5

Option 2: - 0.5

Option 3: 5

Option 4: - 5

Question : The equilibrium of a firm under perfect competition will be determined when:

Option 1: Marginal Revenue > Average cost

Option 2: Marginal Revenue > Average Revenue

Option 3: Marginal Revenue = Marginal cost

Option 4: Marginal cost > Average cost

Question : "Marginal cost" equals:

Option 1: total cost minus total benefit for the last unit produced

Option 2: total cost divided by total benefit for the last unit produced

Option 3: total cost divided by quantity

Option 4: the change in total cost divided by the change in quantity

Question : A demand curve will not shift:

Option 1: when only income changes

Option 2: when only the price of the substitute product change

Option 3: when there is a change in advertisement expenditure

Option 4: when only the price of the commodity change