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LUCKY_DIMON [66]
2 years ago
11

In a fractional-reserve banking system, an increase in reserve requirements

Business
1 answer:
lidiya [134]2 years ago
8 0

Answer:

B. Decreases both the money multiplier and the money supply

Explanation:

An increase in reserve requirement decreases the amount of excess reserves in the banking system. This decrease means that there will also be less money for banks to loan out. this will lead to a reduction in money supply. The money multiplier on the other hand is the how a small deposit can result in a greater increase in money supply in the economy. Money multiplier will also decrease in this case. This is how;

Money multiplier = 1 / reserve requirement .

Based on above equation, if reserve requirement goes up, the overall; fraction  will be smaller hence a decrease in money multiplier.

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Dear Mr. Dunlap: Subject: Your Request for Invoicing Process Information I am happy to let you know that I can answer your quest
Lyrx [107]

Answer: False

Explanation:

It is not an effective beginning for a direct reply letter. Although the message does include a clear and specific subject line that is located below the salutation, it does not place the most important information first in the opening of the message

7 0
3 years ago
What will be the credit and debit
juin [17]
A credit card is money the bank lets you borrow A debit card is money you already have
3 0
2 years ago
Economists make assumptions in order to Select one: a. mimic the methodologies employed by other scientists. b. minimize the num
Deffense [45]

Answer:

The correct answer would be option D, Focus their thinking on the essence of the problem at hand.

Explanation:

An economist is a person who has expertise or who is an expert in the field of Economics. The Economists make assumptions about the economies to focus their thinking on the essence of the problem they have at the moment. They predict the economy, they analyze the economy, they suggest solutions to the problems concerning the economy on the basis of their experience and the new studies being carried up by them. So for this purpose they make assumptions because they want to clearly analyze the situations and want to see what impact their decision will make on the economy, which give them a clear picture about the possible solutions of the problem they have at hand at the moment.

6 0
3 years ago
The ___ act requires companies to produce both an internal control report and an external audit.
Rufina [12.5K]

Answer:

b :)

Explanation:

❤❤❤❤❤

6 0
3 years ago
Read 2 more answers
During 2020, Flint Corporation reported net sales of $5,490,000 and net income of $1,320,000. Its balance sheet reported average
koban [17]

Answer:

The asset turnover is 3.66 times

Explanation:

Asset Turnover is the efficiency rate of the assets of the business to generate revenue for the business. It shows how efficiently the assets of the business are used to generate revenue for the business.

Formula for Asset turnover is as follow

Asset Turnover = Net sales / Average total assets

Asset Turnover = $5,490,000 / $1,500,000

Asset Turnover = 3.66 times

It means that the sale for the period is generated to 3.66 times of average total asset of the business.

5 0
2 years ago
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