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Karen is at the supermarket buying her weekly groceries. Since she is on a budget, she wants to limit her purchases to canned soup (

Karen is at the supermarket buying her weekly groceries. Since she is on a budget, she wants

to limit her purchases to canned soup (

C) and prepackaged s

alad (S). A can of soup costs $1.2

and a tub of salad costs $2. Her utility function is expressed as U(C,S) = C

S. Given that she

has only $10 to spend, derive Karen's optimal consumption.

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