, Explain your answers. Make sure you label the axes on any graphs you draw and explain what you are plotting. The answers may not be integer numbers. Peter consumes sandwiches (good 1, with price p) and juice (good 2, with price p2). His demand function for sandwiches is x* 2m where m is his income. = 3p1 (a) Use the budget constraint to find Peter's demand for juice. (b) Suppose m = $270, p1 = $5 and p2 = $2. Find Peter's optimal consumption bundle and call it A. Suppose now the sandwich price increases to p = $6. (c) What are the new optimal amounts of sandwiches and juice that Peter would choose? Call them bundle C. (d) Given your answers to (b) and (c), calculate the income and substitution effects on Peter's sandwich and juice consumption caused by the price increase. Plot a graph, like in class, to illustrate the two effects and explain their direction. = (e) Suppose Peter's friend Sam faces the same prices as Peter but has preferences u(x1, x2) x1 + x2 and income m = $120. Find the income and substitution effects of the price increase on Sam's sandwich consumption.