need help with this question 01 20 35 Submit Tes This Questi

need help with this question

01 20 35 Submit Tes This Question: 1 pt 70f 10 (4 complete) ? This Test: 10 pts Refer to the indifmerence curve in the figure at right Which of the tollowing statements about marginal utility (MU) Is correct? O A. MU(A)-0 0 B, MU(B) is negative O c. MU(A) is negative. utility Click to select your answer

Solution

Option D

Marginal utility is the additional utility derived by consuming an additional unit of a good. Since the indifference curve is shifting to right, the consumer is deriving utility from consuming good A and does not bother about of good B, hence the marginal utility of B is zero.