Quantity of Ice cream | Total utility | Marginal utility |
0 | 0 | – |
1 | 10 | 10 |
2 | 18 | 8 |
3 | 25 | 7 |
4 | 31 | 6 |
5 | 31 | 0 |
6 | 29 | -2 |
- When More and more units of a commodity are consumed, it’s marginal utility diminishes.
- TU is maximum when MU is zero.
- TU starts decreasing when MU is negative.