Problem 3: You need to decide how many hours should Bob spend at work. His total available time is 24h and he has no income rather than salary. His current wage is $100 per hour and he only consumes apples which cost $5 per pound. 1. What is Bob's real wage (wage rate in terms of apples)? 2. Show Bob's budget set on the graph. 3. Denote by R Bob's leisure and by C his consumption. His utility function is U(R. C) = R . C. What is his optimal time spent at work, his leisure time and his consumption of apples? 4. Assume a wage increase to $200. Is there any change in Bob's labor supply (you have to calculate it)? Why