Regarding Econ 101 homework # 4 assistance
Solve for the missing boxes.
If sandwiches were free, Teresa would choose to eat X sandwiches per week.
What is X?
Now (and for the rest of the question), assume that sandwiches cost $3 each
.
On the following graph, use the green points (triangle symbols) to plot Teresa's total utility if she buys 0, 1, 2, 3, 4, 5, or 6 sandwiches per week. Then use the purple points (diamond symbols) to plot her total net utility (that is, total utility minus total expenditure) for those same quantities.
Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. Remember to plot from left to right.
Hint: Don’t forget to include what happens at 0 sandwiches!
Don’t forget to Plot the points!!
The following graph shows Teresa's marginal utility (demand) curve. By comparing this graph with the previous one, you can see that Teresa's marginal utility curve crosses the horizontal axis (indicating a marginal utility of zero) at a quantity of X sandwiches per week, which is the quantity at which her
( Total Utility/ Total expenditure/ Total net utility) is maximized on the previous graph.
Which of the Underlined choices is correct and solve for X?
Now use the black line (plus symbols) to draw a horizontal line at the price of $3.
Teresa's marginal utility curve crosses this black line (price) line at a quantity of X sandwiches per week, which is the quantity at which her ( Total Utility/ Total expenditure/ Total net utility).
Which of the Underlined choices is correct and solve for X?
On the second graph, Use the colored rectangles to shade the consumer’s surplus (CS) Teresa receives from each of the sandwiches she chooses to buy at a price of $3. You can place up to four rectangles on the graph; if she buys fewer than four sandwiches, don't add the rectangles that correspond to the sandwiches she doesn't buy.
Show me the graph with the colored rectangles.