OL Section C: Optimal Bundle (5 points) 1. Maddie is an employee at a local fast food restaurant. Her current wage rate is $8 an hour. Per week, she has 110 hours to allocate between consumption and leisure. Maddie does not receive any non labor income. Finally, her utility function is given by U(L,C) -5+1/21/2. Thus, C!/2 MUL- 21/2 2013 I MUC (a) What is Maddie's reservation wage? (b) What is Maddie's optimal bundle of consumption and leisure? (c) Sketch Maddie's budget line, her optimal bundle of consumption and leisure, and the indifference curve going through this point. Your graph should specify the following to receive full credit: i. The endowment point ii. Her consumption at L=0 iii. The optimal bundle of (CL) iv. The indifference curve at the optimal bundle OL Section C: Optimal Bundle (5 points) 1. Maddie is an employee at a local fast food restaurant. Her current wage rate is $8 an hour. Per week, she has 110 hours to allocate between consumption and leisure. Maddie does not receive any non labor income. Finally, her utility function is given by U(L,C) -5+1/21/2. Thus, C!/2 MUL- 21/2 2013 I MUC (a) What is Maddie's reservation wage? (b) What is Maddie's optimal bundle of consumption and leisure? (c) Sketch Maddie's budget line, her optimal bundle of consumption and leisure, and the indifference curve going through this point. Your graph should specify the following to receive full credit: i. The endowment point ii. Her consumption at L=0 iii. The optimal bundle of (CL) iv. The indifference curve at the optimal bundle