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Question: 2 mikes preferences are represented by the utility function ua...

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2. Mikes preferences are represented by the utility function U(A, B) A+2B. He has an income of S20. Consider each of the following combination of prices of goods. On the same graph, (i) graph a family of indifference curves for the consumer, (ii) graph the budget lines for each combination of prices, (iii) calculate and label the optimal consumption choice(s) for each combination of prices, and (iv) calculate the utility Mike derives from consuming the optimal consumption choice. bananas 20 15 T 10 t apples 10 15 20 (a) The price of an apple is $1 and the price of a banana is $2 (b) The price of an apple is $2 and the price of a banana is $2 (c) The price of an apple is $1 and the price of a banana is S5 (d) The price of an apple is S1 and the price a banana is S0. Suppose that the maximum number of apples Mike can get is 20 and the maximum number of bananas Mike can get is 20

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