Math Problem Statement

Solution

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Math Problem Analysis

Mathematical Concepts

Microeconomics
Utility Maximization
Lagrangian Method

Formulas

U(X,Y) = XY^3
Budget constraint: 20X + 10Y = 400
Lagrangian: L(X,Y,λ) = XY^3 + λ(40 - 2X - Y)

Theorems

Lagrangian multiplier method
First-order conditions for utility maximization

Suitable Grade Level

University level (Economics, Intermediate Microeconomics)