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27 December, 17:14

If the total utility from consuming the fifth unit of a product is 6 and the total utility from all five units is 162, then the total utility from consuming four units must be:

a) 168 b) 156 c) 27 d) 972

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  1. 27 December, 20:59
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    b) 156

    Explanation:

    Total utility is the total amount of satisfaction received by a consumer after consuming a given quantity of a product or service. In this question there is the total utility of five product.

    Total utility = 162

    utility of fifth product = 6

    Total utility of other four products = Total utility - utility of fifth product

    Total utility of other four products = 162 - 6 = 156
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