Mr. Hughy enjoys chocolate candy. The following table shows the relation between the pounds of

bon-bons eaten per month and the total utility derived from bon-bon consumption.

Pounds of Bon-bons per Month Total Utility

0 0

1 200

2 330

3 420

4 480

5 530

A. Construct a table showing Hughy's marginal utility derived from bon-bon consumption.

B. At an average bon-bon price of $2.50 per pound, Hughy is able to justify five pounds per

month. Calculate the cost per unit of marginal utility derived from bon-bon consumption at this

activity level.

C. If the cost-marginal utility tradeoff found in part B represents the most Hughy is will to pay for bon-bon consumption, calculate the prices of which he would eat one, two, three, four, and five pounds per month.