The current price of a turkey sandwich is $6. If kyle is currently buying five turkey sandwiches a week, he:_______

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22-07-2022
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The current price of a turkey sandwich is $6. If kyle is currently buying five turkey sandwiches a week, he:_______

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sharmaaashutosh169 sharmaaashutosh169 · Answer 1 · 2022-07-29T13:56:53+02:00

The utility is not maximized since the marginal utility gained from the fifth sandwich is greater.

In economics, utility refers to the entire satisfaction or benefit gained from consuming an item or service. Consumer utility maximization is commonly assumed in the economic theories based on the rational choice.

In economics, the marginal utility is the additional satisfaction (utility) that a buyer receives by purchasing an additional unit of the product or the service. It computes utility once the first product is consumed (the marginal amount).

Therefore, the utility is not maximized , from the fifth sandwich onwards the marginal utility is more.

To know more about utility click here:

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