Answers
Part 1
The ratio for consumption is 1 Creamer = 1 cup of coffee
Budget line has an equation 39 = Price of creamer x quantity of creamer + Price of coffee x quantity of coffee
39 = 0.25CR + 3CU
Note that 1CR = 1CU
39 = 0.25CR + 3CR
CR = 39/3.25 = 12
Hence the consumption bundle has 12 packets of creamer and 12 cups of coffee
Part 2
There is no substitution effect in case of perfect complements. Hence select 0 packets.
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