1. The problem is to find the values of $x_1$ and $x_2$ given the utility function $$U(x_1, x_2) = (4 + x_1) \cdot x_2$$ and the utility level $u = 1300$, with prices $P_1 = 2$ and $P_2 = 3$. 2. We want to check if you multiply each term by the prices to find the budget constraint or solve for $x_1$ and $x_2$. 3. The budget constraint is $$2x_1 + 3x_2 = M$$ where $M$ is the total money available (not given here). 4. Since $u = 1300$, we have $$1300 = (4 + x_1) \cdot x_2$$. 5. To find $x_1$ and $x_2$, you can express $x_2$ from the utility equation: $$x_2 = \frac{1300}{4 + x_1}$$. 6. Then, if you have a budget $M$, substitute $x_2$ into the budget constraint: $$2x_1 + 3 \cdot \frac{1300}{4 + x_1} = M$$. 7. Without $M$, you cannot solve for exact values, but yes, you multiply each quantity by its price in the budget constraint. 8. So, you multiply $x_1$ by $P_1=2$ and $x_2$ by $P_2=3$ to form the budget equation. Final answer: Yes, you multiply each quantity by its price to form the budget constraint.