The price of lemonade is $0.50; the price of popcorn is $1.00. If Fred has maximized his utility by purchasing lemonade and popcorn, his marginal rate of substitution will be
A. 2 lemonades for each popcorn.
B. 1/2 lemonade for each popcorn.
C. 1 lemonade for each popcorn.
D. indeterminate unless more information on Fred's marginal utilities is provided.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “The price of lemonade is $0.50; the price of popcorn is $1.00. If Fred has maximized his utility by purchasing lemonade and popcorn, his ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Kalanja Designs, which produces earrings, is developing direct material standards. Each earring requires 0.38 kilograms of a special metal. The allowance for waste is 0.2 kilograms per earring, while the allowance for rejects is 0.
Answers (1)
Why might the true value of kg in the reactor be significantly different from the value estimated in part (a) ? (give several possible reasons.) ?
Answers (1)
Joe's boss, Jessica, catches him taking money from the office coffee fund. Joe explains he was not stealing, but rather getting "what was owed him.
Answers (1)
You are going to a dinner whith three (3) friends, one who likes steak, another wine, and the third is a vegetarian (which is assumed to be the least expensive). Which is true? a.
Answers (1)
Ann transferred land worth $200,000 with a tax basis of $40,000, to Brown corporation, an existing entity, for 100 shares of its stock. Brown corporation has two other shareholders, Bill and Bob, each of whom holds 100 shares.
Answers (1)
New Questions in Business
Preparing a Budgeted Income Statement Oliver Company provided the following information for the coming year: Units produced and sold 160,000 Cost of goods sold per unit $6.30 Selling price $11 Variable selling and administrative expenses per unit $1.
Answers (1)
What is NOT one of the three primary resources that families have to reach financial goals?
Answers (1)
Interest groups ___. Are most often set up by or work for elites and corporations Work to influence laws and policies Work to influence court rulings All of these answers
Answers (1)
What if the tile work had proceeded as contracted and looked good, but STR refused to pay, saying it didn't meet their personal satisfaction (even though the contract didn't mention this option). Could STR refuse to pay?
Answers (1)
You want to create a slide that lists the pros and cons of using cloud storage as part of your presentation on business technology. Which pre-set layout would you want to use? A. Content with caption B. Title only C.
Answers (2)