Find the marginal utilities, Microeconomics

Assignment Help:

An individual derives utility from consuming goods X and Y according to the following estimated utility function

U = 12X2/3 Y ¼      

X and Y are quantities (units) of the two goods

The individual has ksh 2400 to spend on goods X and Y whose prices per unit are ksh 6 and Ksh 12 respectively,

a) Find the individual's marginal utilities with respect to both goods

b) Determine the quantities of each commodity he/she should buy so as to maximize his utility       

c) His/her maximum attainable utility level


Related Discussions:- Find the marginal utilities

What is the role of profits in a market economy, What is the role of profit...

What is the role of profits in a market economy? Profits act as an incentive to producers and potential entrepreneurs, and also as a signal to both that resources may be re-al

Demographicwindow, what do you understand by demographic window acess by in...

what do you understand by demographic window acess by india

Market systems, what is a perfect competition and how does it differ from m...

what is a perfect competition and how does it differ from monopoly?

Supply and demand shifter, What happens to the market for cchicken wings if...

What happens to the market for cchicken wings if the price of beer increases?

The demand curve, The Demand Curve - The demand curve exhibits how much...

The Demand Curve - The demand curve exhibits how much of a good consumers are ready to buy as the price per unit changes keeping non-price factors constant. - This price-qua

Explain the various forms of economic integration, Question: (a) Descri...

Question: (a) Describe the two major developments which have led in the adoption of Import Substitution Industrialisation by Developing Countries in the 1940s/50s. (b) Ill

Workers'' co-operative, Workers' Co-operative: Another form of privat...

Workers' Co-operative: Another form of privatisation is transfer ofownership of a loss-making concern to the workers. Mr. R. Ganpati, formerChairman of the Board of Industria

Demand and Supply, #questDuring the 1990s, technological advance reduced th...

#questDuring the 1990s, technological advance reduced the cost of computer chips. Explain, with the use of supply and demand diagrams, how the following markets are affected in ter

Eoq formula, EOQ formula  The EOQ equation assumes demand is constant ...

EOQ formula  The EOQ equation assumes demand is constant and steady. It also assumes that demand for different items is independent. This is inappropriate for controlling inve

Money and banking., excess reserve make a bank less vulnerable to runs.why

excess reserve make a bank less vulnerable to runs.why

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd