Question

refer to the accompanying table. the marginal utility of the 3rd dinner is

number of dinners out per week	total utility	marginal utility
2		75
3	235
4	250

multiple choice
135
60
160
75

Explanation:

Step1: Recall marginal utility formula

Marginal Utility (MU) of the $n^{th}$ unit = Total Utility (TU) of $n$ units - TU of $(n - 1)$ units.

Step2: Identify relevant values

For the 3rd dinner, $n=3$, TU of 3 dinners is 235, and TU of 2 dinners is $100 + 75=175$.

Step3: Calculate marginal utility

MU of 3rd dinner = $235-175 = 60$.

Answer:

60