(Solution) - Terry has 100 to spend on Lake Perch and walleye -(2025 Original AI-Free Solution)

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Terry has $100 to spend on Lake Perch and walleye for his family?s Friday fish fry. Terry?s utility function is
U(P,W) = 10W + PW
where P is pounds of lake perch and W is pounds of walleye.
a. Suppose the price of perch is $5 per pound and the price of walleye is $3 per pound. Find Terry?s optimal combination of perch and walleye.
b. Suppose that the price of perch increases to $12 per pound, while the price of walleye remains unchanged. Find Terry?s optimal combination of perch and walleye.