Consumer Optimum, Demand Functions. For her beauty routine, Ashley spends all her income

on face cream (C) and lipstick (L). Her preferences can be represented by the utility function: U(C,L)

= C^3/4 L^1/4.

a) Suppose that the average price of a face cream is P_c = 15, the price of lipstick is P_l = 10, and Ashley's

income is I = 40. What bundle (C,L) maximizes her utility? Draw your results in a clearly labeled graph.

b) Compute Ashley's demand functions for cream and lipstick.

c) Compute Ashley's Engel functions for cream and lipstick