They have a magnificent team. These people are always kind and willing to listen to your concerns or issues. Better yet, your assignment is always ready before the time, they usually send you a draft to double-check before they finalize your paper.
McMaster I.D. #__________________________
Dr. Robert Jefferson
Mid Term Examination 2
On the FRONT of your Scantron (SIDE 1), fill out the items in the box at the top (your
McMaster i.d. number, name, date, signature, course, section (C01), instructor name (R.
On the FRONT of your Scantron (SIDE 1) use a dark lead pencil to bubble in your Student
Number, the Version number (#), and your section number (001).
Leave blank Sheet Number and Seat Number.
Be sure to fill in # in the column marked “VERSION”
You have 90 minutes. No student may leave before 8:00. Hand in the computer card AND
the question paper.
5. There are 30 multiple-choice questions. Answer by completely filling in the box. If you
change an answer then completely erase your previous answer.
You will be given one mark for each correct answer and zero marks for missing, incorrect or
6. Permitted examination aid: Casio FX-991 calculator. Dictionaries or any other books are
7. All cell phones, pagers, and other electronic devices must be turned OFF and put away.
Proctors will confiscate any such device seen on the desk of an exam candidate.
Diana consumes commodities x and y and her utility function is U(x, y) = xy2.
Good x costs $2 per unit and good y costs $1 per unit.
If she is endowed with 3 units of x and 6 units of y, how many units of good y will she
Rhoda takes a job with a construction company.
She earns $5 an hour for the first 40 hours of each week and then gets “double-time” for
overtime. That is, she is paid $10 an hour for every hour beyond 40 hours a week that she
Rhoda has 70 hours a week available to divide between construction work and leisure.
She has no other source of income, and her utility function is U = cr, where c is her income
to spend on goods and r is the number of hours of leisure that she has per week.
She is allowed to work as many hours as she wants to.
How many hours will she work?
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