Question

If at a quantity consumed of 1 unit, total utility equals 25 and marginal utility equals 25, and at a quantity consumed of 2 units, total utility is unknown and marginal utility is 20, and at a quantity consumed of 3 units, total utility is 57 and marginal utility is unknown, what is marginal utility of the third unit?

Answer 1

The marginal utility of the third unit is unknown.

Step-by-step explanation:

Marginal utility can be calculated by finding the change in total utility and dividing it by the change in quantity consumed. In this case, the marginal utility of the first unit is 25, the marginal utility of the second unit is 20, and the total utility of the third unit is 57. To find the marginal utility of the third unit, we subtract the total utility of the second unit (unknown) from the total utility of the third unit (57). So, the marginal utility of the third unit is 57 - unknown = unknown. Therefore, the marginal utility of the third unit is unknown.