Assertion (A): For a consumer, the bundle (8 bananas, 5 mangoes) lies on a higher indifference curve than the bundle (6 bananas, 5 mangoes).
Reason (R): As long as the marginal utility of a commodity is positive, more of it increases the consumer’s satisfaction.
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Both (A) and (R) are true and (R) is the correct explanation of (A).
Assertion (A): For a consumer, the bundle (8 bananas, 5 mangoes) lies on a higher indifference curve than the bundle (6 bananas, 5 mangoes). — True. The first bundle has 2 more bananas and the same mangoes.
Reason (R): As long as the marginal utility of a commodity is positive, more of it increases the consumer’s satisfaction. — True. Each extra unit with positive MU adds to total satisfaction.
Why R explains A?
The extra 2 bananas have positive marginal utility, so they raise her satisfaction. A bundle giving more satisfaction lies on a higher indifference curve. So R is the reason for A.
NCERT (2026-27): “2.Higher indifference curve gives greater level of utility: Consider the different combination of bananas and mangoes, A, B and C depicted in table 2.4 and figure 2.7. Combinations A, B and C consist of same quantity of mangoes but different quantities of bananas. Since combination B has more bananas than A, B will provide the individual a higher level of satisfaction than A. Therefore, B will lie on a higher indifference curve than A, depicting higher satisfaction. …” “As long as marginal utility of a commodity is positive, an individual will always prefer more of that commodity, as more of the commodity will increase the level of satisfaction.” |