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Question: can be described by the utility function ur y102 prices...

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can be described by the utility function U(r, y)102. Prices Sally the Sleeks preferences are pz 2 and py 4. (a) If Sally initially consumed 10 units of and 5 units of y, how much could she save if she consumed 8 more (small) units of x and kept utility constant?1 Therefore, can it be optimal to (b) Sally decides that she wants a level of U 27. What is the minimum she would have to spend c) What is the cost of one additional (small) unit of extra utility in that case? [If you use decimals, consume the bundle (10,5)? (4]) in order to attain that utility? (4) round to two decimal places after the zero.] (2)

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