How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask getsetgo Your Own Question
getsetgo, Master's Degree
Category: Business and Finance Homework
Satisfied Customers: 3487
Experience:  MBA from premium institute. 9+ years experience at executive level in Fortune-200 company.
Type Your Business and Finance Homework Question Here...
getsetgo is online now
A new question is answered every 9 seconds

Economists refer to consumer satisfaction as utility and use

Resolved Question:

Economists refer to consumer satisfaction as utility and use "utils" to measure consumer utility. Jill enjoys cookies and milk as a snack. Below is a table showing Jill's utility from consuming cookies and milk:

# XXXXX Cookies Total Utility (Utils) Glasses of Milk Total Utility (Utils)
0 0 0 0
1 300 1 600
2 500 2 700
3 600 3 720
4 650 4 730

If a cookie costs $1 and a glass of milk is $1, what combination of cookies and milk will provide Jill with the greatest total utility if she has $5 to expend?

Now suppose that a cookie costs $1 and a glass of milk costs $2. Is Jill in consumer equilibrium if she consumes one cookie and one glass of milk? Please explain how you arrived at your answer.
Submitted: 6 years ago.
Category: Business and Finance Homework
Expert:  getsetgo replied 6 years ago.
Welcome to Just Answer.
Please download your answer Here

Please Accept the answer if you find it useful as I will get credit for my work only after you accept the answer.
getsetgo and other Business and Finance Homework Specialists are ready to help you

Related Business and Finance Homework Questions