How big will that budget have to spend

Assignment Help Microeconomics

Reference no: EM13110377

Suppose that omar's marginal utility for cup of coffee is constant at 2.5 utils per cup no matter how many cup he drinks. on the other hand, his marginal utility per donut is 11 for the first donut he eats, 10 for the second he eats, 9 for the third he eats, and so on declining by one util per additional donut. in addition, suppose that coffee cost $1 per cup, donut cost $1 each, and omar has a budget that he can spend only on donuts, coffee, or both. How big will that budget have to be before he would spend a $1 buying a first cup of coffee?

Reference no: EM13110377

Questions Cloud

Describe in a one paragraph : describe in a one paragraph. Contrast the functions of the pulmonary vs. the systemic circuits.

Probability of internet users who opposes ads : Internet users age 12-17 in proportion who opposes ads? Solve manually and then by mega stat. Point to your decision rule, your hypotheses and statistical and management conclusions."

Data about statistics - hypothesis testing : A CEO of a large pharmaceutical company would like to determine if he should be placing more money allotted in the budget next year for television advertising of a new drug marketed for controlling asthma.

Creating the project network : A senior MIS design class project team has developed the following schedule of activities for their project, using their best estimate of completion times.

How big will that budget have to spend : How big will that budget have to be before he would spend a $1 buying a first cup of coffee?

Data sufficient to conclude differences-feedback condition : Use the analysis of variance (α = 0.05) to find out whether this data is sufficient to conclude that there are significant differences between feedback conditions.

Hypothesis testing of mean-weight of penny : The US Mint selects ten pennies from the production line to test the hypothesis that the mean weight of each penny is 5 grams. The normally-distributed weights (in grams) of these pennies are as follows:

What would be the fractional saturation : Hemoglobin is 50% saturated with oxygen when pO2 = 26 torr. If hemoglobin exhibited hyperbolic binding (as myoglobin does) with 50% saturation at 26 torr, what would be the fractional saturation when pO2 = 30 torr and 100 torr? What does this tell..

How stakeholders analysis affect project risk management : Using the stakeholder analysis template for a company that you are familiar with, determine the key stakeholder, and categorize them by their attude, power and interest dimensions.

User Account

All Pages