In order to calculate total utility (TU) from given levels of marginal utility (MU), one has to?
- subtract MU from TU
-
Add MU from the various levels
- multiply MU by the initial TU
- Divide current MU by previous MU
The correct answer is: B
Explanation
“Marginal utility is addition made to total utility by consuming one more unit of a commodity”.
Total Utility is Summation of Marginal Utilities: in order to get the total utility, you will have to sum up the additional/extra utility (MU) from the given levels of consumption