It belongs to Financial Economics. Give full explanation plz.

1. A consumer's consumption-utility function for a two-period horizon (t = 1, 2) is U(C1, C2) = In(c1) + In(c2). The consumer's income stream is 31 = 2000 and y2 = 1296, and the market rate of interest is 8%. (a) Determine the optimal values for c, and c2 that maximize utility. (b) Show that this consumer is a borrower or a lender at time t = 1