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Casper consumes coca and cheese. Cocoa is sold in an unusual way. There is only one supplier and the more coca you buy from him the higher the price you have to pay per unit. In fact y units of coca will cost y^2 dollars. Cheese is sold in the usual way at a price of 2 dollars per unit. Casper’s income is 20 dollars and his utility function is u (x, y) = x + 2y; where x and y is consumption of cheese and cocoa respectively
Formulate Casper’s optimization problem and calculate the amount of cheese and coca that Casper demands at these prices and this income
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