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  3. columns 1 through 4 in the accompanying table show the...

Question: columns 1 through 4 in the accompanying table show the...

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Columns 1 through 4 in the accompanying table show the marginal utility, measured in utils, that Ricardo would get by purchasing various amounts of products A, B, C, and D. Column 5 shows the marginal utility Ricardo gets from saving. Assume that the price of good A is $9.00, the price of good B is $3.00, the price of good C is $2.00, and the price of good D is $6.00. Ricardos income is $71.00 Column 1 Column2 Column 3 Column 4 Column 5 Units of Good A Units of Good B Units of Good C Units of Good D Number of Dollars Saved MU MU 72.00 54.00 45.00 36.00 27.00 18.00 15.00 12.00 24.00 15.00 12.00 9.00 7.00 5.00 2.00 1.00 15.00 12.00 8.00 7.00 5.00 4.00 3.50 3.00 36.00 30.00 24.00 18.00 13.00 7.00 4.00 2.00 5.00 4.00 3.00 2.00 1.00 0.50 0.25 0.13 4 6 6 6 6 Instructions: Enter your answers as whole numbers a. What quantities of A, B, C, and D will Ricardo purchase in maximizing his utility? When good A is $9.00, A- 4 units When good B is $3.00, B 3 units

When good C is $2.00, C- When good D is $6.00, D units. b. How many dollars will Ricardo choose to save? Instructions: Enter your answers as whole numbers and in the format of price times quantity. c. Check your answers by substituting them into the budget constraint and verify that all of Ricardos income is spent.

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