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hi just the first 2 that you can see. Question 25 (12 points) Ellie's preferences are described by the utility function U = 4DT, where

hi just the first 2 that you can see.

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Question 25 (12 points) Ellie's preferences are described by the utility function U = 4DT, where D indicates the quantity of donuts and T is the quantity of tea. The price of donuts is $1.25 per pack and the price of a tea is $2.50. Ellie has $m to spend on these two goods each week. Pay careful attention to the instructions, Answers on paper and in myis sheet must match. a) (6 marks) On your paper. I write out the Lagrangian for this problem and derive the 3 first order conditions for solving Ellie's utility maximization problem; (i) solve for Ellie's demand functions for donuts (D) and tea (T). (3 marks) Suppose Ellie's income is $30. On your n entities of donuts and tea. On your paper Label your graph and indic in the myis andy

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