Question: Percy consumes cakes and ale. His demand function for cakes is qc = m 30pc + 20pa, where m is his income, pa is

Percy consumes cakes and ale. His demand function for cakes is qc = m − 30pc + 20pa, where m is his income, pa is the price of ale, pc is the price of cakes, and qc is his consumption of cakes. Percy’s income is $100, and the price of ale is $1 per unit.

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