A Person with the Utility Function U(x₁, X₂)= Min+x₁

question 24

True/False

A person with the utility function U(x₁, x₂)= min+x₁ + 2x₂, 2x₁ + x₂} has convex but not strictly convex preferences.

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Definitions:

Journalized

The process of recording transactions in a journal before they are posted to the general ledger in accounting.

Income Summary Account

A temporary account used in the closing process that aggregates all income and expense accounts to determine net income or loss for a period.

Permanent Account

An account in the general ledger that carries its ending balance over to the next accounting period, such as assets, liabilities, and equity accounts.

Balance Sheet

A balance sheet is a financial statement that provides a snapshot of a company's financial condition at a specific time, summarizing its assets, liabilities, and shareholders' equity.