Question
5. Matilda is downloading music and videos from an online site. She is currently buying three music downloads that cost $3 each and two video
5. Matilda is downloading music and videos from an online site. She is currently buying three music downloads that cost $3 each and two video downloads that also cost $3 each. The table below indicates what she reports as the marginal utility of the last music download and of the last video download in this combination of purchases.
Downloads Quantity Price per Download MU per download
Music downloads 3 $3 60
Video downloads 2 $3 45
As an assignment for her Microeconomics course, Matilda used the marginal utilities that she gave to her 3rd music download and her 2nd video download to complete the Experiment Tally Sheet below. Her available budget was $19.00.
Downloads of mu (score) from Price of each Money spent on
Music 1 to 100 $3.00 mu/$ music
1 ? ? $3.00
2 ? ? ?
3 60 20 $3.00
4 ?
How do I calculate to find the "?"
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