Mr Adam's daily income is $ 30 per day. He spends all of the income on buying apples and oranges. The

prices are: $ 5 per apple and $ 5 per orange.

Let's assume, Mr Adam is consuming 3 apples and 3 oranges per day. The marginal utility from apples is

20 utils and marginal utility from oranges is 10 utils.

a) Is Mr Adam maximizing utility? Explain briefly. (2 marks)

b) If Mr Adam is not maximizing utility, then how can he maximize utility? Explain in detail.