BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Utility describes the benefit or satisfaction received from consuming a good or service. The unit of measurement economists use to gauge satisfaction is called util. Utility function measures consumers’ preferences for bundles of goods or services.

Detailed explanation-2: -In economics, utility is a term used to determine the worth or value of a good or service. More specifically, utility is the total satisfaction or benefit derived from consuming a good or service. Economic theories based on rational choice usually assume that consumers will strive to maximize their utility.

Detailed explanation-3: -The utility of a good or service is determined by how much satisfaction a particular consumer obtains from it. Utility is not a quality inherent in the good or service itself. Total utility is a conceptual measure of the number of units of utility a consumer gains from consuming a good, service, or activity.

Detailed explanation-4: -Marginal utility is the added satisfaction a consumer gets from having one more unit of a good or service. The concept of marginal utility is used by economists to determine how much of an item consumers are willing to purchase.

Detailed explanation-5: -The satisfaction of a consumer is the basis of the utility function. It measures how much one enjoys when he or she buys something. A utility is a measure of how much one enjoys a movie, favourite food, or other goods. It varies with the amount of desire.