Answer:
1. decreases
2. decrease
Explanation:
When Domestic interest rate increases, as a result of floating exchange rate, the net capital outflow decreases which in turn leads to most goods to be used internally, instead of exporting it abroad, there by reducing the level of exports.
Hence, All things being equal, it is assumed or believed that, In a short-run model of a large open economy with a floating exchange rate, net capital outflow DECREASES as the domestic interest rate increases and is just equal to the DECREASE in net exports.
Answer:
The correct answer is option D.
Explanation:
An ethical dilemma can be defined as a situation in the decision-making process in which whatever decision is chosen some ethical principle is being compromised.
Out of two moral choices, neither one is unambiguously preferable or acceptable. The situation becomes complex as choosing one alternative will lead to transgression of another.
Stockholders' equity is increased by revenues.
<h3>What is stockholders' equity?</h3>
Stockholders' equity is the total assets of a firm less the total liabilities. According to the accounting equation, stockholders' equity = assets - liabilities.
Factors that cause asset to increase or liabilities to reduce increases stockholder's equity. For example, an increase in revenue increases stockholder's equity or a decrease in expenses increases stockholder's equity.
To learn more about stockholder’s equity, please check: brainly.com/question/26210654
Answer:
If a bank has excess reserves of $7,000 and demand deposit liabilities of $100,000, and if the reserve requirement is 15%, then the bank has actual reserves of $22,000.
Explanation:
Total deposit = $100,000
Reserve requirement = 15% of the total deposit
Therefore, required reserves = 15% of $100,000
=15/100 * $15,000
= 0.15*$100,000
required reserves = $15,000
The excess reserves given in the question = $7,000
Total reserves = Required reserves + Excess reserves = $15,000 + $7,000 = $22,000
