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Question 3. Suppose that Janice only cares about tea (T) and coffee (C). Her utility function is U = 2T + 4C. The price of
Question 3. Suppose that Janice only cares about tea (T) and coffee (C). Her utility function is U = 2T + 4C. The price of T is $1.50, and the price of C is $2.50. Janice has a budget of $15 for tea or coffee during the week. (a) Write down the consumers maximization problem and solve for the marginal utility of goods T (MUr) and C (MUc). (b) What is the optimal choice of T and C for Janice to maximize her utility? (c) What is the utility generated by Janice at this optimal choice from part (b)? (d) Draw and label a graph containing Janice's budget line, her optimal bundle from part (b), and her indifference curve at this utility
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