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You have 8 hours to study for two final exams. The exam for course A is worth 25% of your grade and the exam for course B is worth 50% of your grade. The first hour you spend on studying for either exam will increase your score on it by 10 percentage points, the second hour will increase your grade on it by an additional 9 percentage points, the third hour will increase your grade on it by an additional 8 percentage points, and so forth. How will you allocate your time? Explain your answer in terms of marginal analysis.

Respuesta :

Explanation:

  • I spend the first three hours studying for both the course A exam and the course B exam and switch to course B for the next five hours since it is worth 50% of my grade.

   hours               course             percentage

      1                       A&B                        10%

       2                      A&B                          9%

       3                      A&B                          8%

       4                        B                            7%

       5                        B                            8%

       6                        B                            9%

       7                        B                            10%

       8                        B                            11%  

  • After the three hours of studying two courses and switching to one, the percentage will increase.
  • As I fixate on the course B since it has 50% of my final grade and this is due to the increase in time which increases the efficiency to produce a better result.                    

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