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Peter's utility function is u(x, y) = x + 2y where x is the number of ounces of coffee and y is the quantity of sugar in grams. Let unit prices be given by Px = 6 cents, Py = 2 cents, and assume that Peter has $9 to spend on coffee and sugar. Find Peter's best choice, in terms of quantities of coffee and sugar. Illustrate it graphically.
Regression Analysis
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