Department of Economics and Finance

 

Assume that Mohammad has $144 to spend on Soccer Games and Fishing Trips each month and that both goods must be purchased whole (no fractional units). Attending a soccer game costs $6 each, and fishing costs $30 per trip. Mohammad’s preferences for soccer and fishing are summarized by the following information:

1- Fill in the figures for marginal utility and marginal utility per dollar for both soccer and fishing.

2- Are these preferences consistent with the law of diminishing marginal utility? Explain briefly.

3- Given the budget of $144, what quantity of soccer games and what quantity of fishing trips will maximize Mohammad’s level of satisfaction? Explain briefly.

4- Now suppose the price of soccer game rises to $8. Which of the columns in the table must be recalculated? Do the required recalculations.

5- After the price change, how many soccer games and how many fishing trips will Mohammad purchase?

6- Draw the total utility for both soccer games and for the fishing trips.

 

Sample Solution

location. the expansion in technology has allowed such groups additionally to effectively interact with one another. regardless of the kind of team, a process characteristic of a team is that it depends on collaboration between the team members so they’ll win a goal that one person couldn’t have achieved alone. There are several factors that have an effect on the effectiveness of a team however 3 essential factors include: a compelling direction, a robust structure, and a auxiliary context (Haas & Mortensen, 2016). A compelling direction refers to a group of clearly outlined goals that the team will work towards and is impressed by. a robust structure refers to a group of clearly outlined roles and responsibilities for every team member yet as applicable members which will support the goals of the team supported their individual strengths. Another process characteristic of effective groups is that it’s a balance of skills from all the members. Lastly, a auxiliary context refers to an surroundings that’s contributory for prime performance. It may embrace several factors as well as a rewards structure, training, infrastructure etc. the thought is to make an surroundings wherever each team member will perform effectively to their best potential to attain the goals of the team.

As a group, we have a tendency to came up with the conclusion that we’ve terribly numerous groups at our place of labor. This diversity will be determined within the vary of ages, gender, race and nationalities. This adds to the team dynamic and brings in diversity of thought and opinion to discussions that successively makes for simpler higher cognitive process. In some cases, it additionally results in a distinction of opinions and a few friction however by and huge the result is extremely positive. As antecedently mentioned, a perfect team is comprised of individuals with the proper skills to try and do the task and also the criteria ought to be primarily based solely on those skills as critical different limiting factors. The groups may be classified as self-managing to an oversized extent whereby a manager exists and should assign specific tasks however there’s still enough autonomy for individual team members or contributo

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