BA 0 Question 16 Nishani has preferences between two goods X and Y that can be represented by utility function: U(X,Y)=5X^4Y² She faces prices for each px-3 and py 5, and has budget to spend on both of them of 180. a) Solve for Nishani's optimal consumption bundle, showing your working. (5 marks) Suppose that the price of good Y decreases to py-4. b) Solve for the new optimum at the new prices. (2 marks) c) Sketch, or explain in words, how the budget line and indifference curve diagram would look. Including the position of the optimal bundles. (3 marks