Post Utme Coal City University 2025 Commerce Question 6

Practice objective / multiple choice question 6 from the 2025 Post Utme Coal City University Commerce examination.

Post Utme Coal City University 2025 Commerce Objective / Multiple Choice
Question 6 POST_UTME_COAL_CITY_UNIVERSITY • 2025 • COMMERCE • objective

In a perfectly competitive market, the law of diminishing marginal utility implies that the marginal utility of the last unit of a good consumed is equal to the price of the good. What is the implication of this for the consumer's optimal consumption?

Answer Options

A. The consumer will consume the entire quantity of the good available.
Correct Answer B. The consumer will consume a quantity of the good that maximizes their satisfaction.
C. The consumer will not consume the good at all.
D. The consumer will consume a quantity of the good that is less than the optimal quantity.
Correct Answer
B
Correct Option:
The consumer will consume a quantity of the good that maximizes their satisfaction.

About This Question

This is Post Utme Coal City University 2025 Commerce Question 6. It is one of the objective questions from the 2025 Post Utme Coal City University Commerce examination.

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