Charlies utility function for his consumption of apples xa


Charlie's utility function for his consumption of apples xA and bananas xB is u(xA, xB) = xAxB.

If the price of apples is pA = 3 and the price of bananas is pB = 1, and Charlie has $12 to spend on apples and/or bananas, then:

The budget equation is 

3xA+xB=12

And the optimization condition (to maximize Charlie's utility) is

-xBxA=-3

Given these two conditions, find Charlie's optimal bundle: (xA*, xB*) =

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Business Economics: Charlies utility function for his consumption of apples xa
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