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Suppose that Brian only cares about Pizza (P) and water (W). His utility function is U = 4P^2/6 + W/4. The price is $20, and
Suppose that Brian only cares about Pizza (P) and water (W). His utility function is U = 4P^2/6 + W/4. The price is $20, and the price of W is $2. Dave has a budget of $120 for food and beverage.
a) Write down the consumer's maximization problem.
b) What are the consumption quantities of P and W that will maximize Dave's utility?
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