Maurice has the following utility function: U(X, Y) = 20X + 80Y X2 2Y2 Where

Question:

Maurice has the following utility function: U(X, Y) = 20X + 80Y – X2 – 2Y2 Where X is his consumption of CDs, with a price of $1, and Y is his consumption of movie videos, with a rental price of $2. He plans to spend $41 on both forms of entertainment. Determine the number of CDs and video rentals that will maximize Maurice’s utility.