Question: Hubert's preferences are given by the following function, where _ is the total number of lattes he drinks and R is the total number of



Hubert's preferences are given by the following function, where _ is the total number of lattes he drinks and R is the total number of regular cups of coffee he drinks in a month. U (L, R) = (L XR) 05 Last month, Hubert drank 16 lattes and drank 4 regular cups of coffee. This gives him a utility of utils. Complete the following table by calculating the amount of the other good that would make the utility from bundles B and C equal to the utility from bundle A. Bundle Lattes Cups of Coffee A 16 B 8 C 16 On the following graph, use the purple curve (diamond symbols), labeled "Indifference Curve, " to plot the three combinations of lattes and regular cups of coffee that yield the same level of utility that you previously found.Suppose Hubert has budgeted $36 this month for spending on drinking lattes and drinking regular cups of coffee. Use the green line (triangle symbol) to plot his budget constraint if a latte costs $3 and a cup of coffee costs $1.50. This month, the maximum utility Hubert can achieve based on this budget is V the utility he attained last month. (Hint: Hubert's utility-maximizing choice may fall on a utility curve that isn't drawn on this graph.) On the following graph, use the purple curve (diamond symbols), labeled "Indifference Curve, " to plot the three combinations of lattes and regular cups of coffee that yield the same level of utility that you previously found. 24 A 22 20 Budget Constraint 18 16 Indifference Curve 14 CUPS OF COFFEE PER MONTH 10 0 2 4 6 8 10 12 14 16 18 20 22 24 LATTES PER MONTH
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