Really need help for part c. Thanks!

QUESTION 8 10 points Save Answer Welfare Cost of Inflation. Consider the utility function: u(cz,me) = AC, + Bm; - Cm. Let A=5,B= 1, C = 0.5. Compute the following (a) The individual's demand for real money balances when i = 0.10.(3 marks) (b) The amount of real money balances that satisfies the Friedman rule. (3 marks) (c) The welfare cost of inflation in terms of consumption using Lucas (1994) method for a nominal interest rate of 0.10. Normalise consumption to 1 at the Friedman rule. (4 marks) QUESTION 8 10 points Save Answer Welfare Cost of Inflation. Consider the utility function: u(cz,me) = AC, + Bm; - Cm. Let A=5,B= 1, C = 0.5. Compute the following (a) The individual's demand for real money balances when i = 0.10.(3 marks) (b) The amount of real money balances that satisfies the Friedman rule. (3 marks) (c) The welfare cost of inflation in terms of consumption using Lucas (1994) method for a nominal interest rate of 0.10. Normalise consumption to 1 at the Friedman rule. (4 marks)