1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
musickatia [10]
2 years ago
9

a commercial bank has $1,000,000 of customer checking deposits and actual reserves of $300,000. if the reserve ratio is 20 perce

nt, what is the maximum amount of new loans the bank can extend?
Business
1 answer:
alexira [117]2 years ago
8 0

The maximum amount of new loans the bank can extend is $800,000.

<h3>What is the maximum amount of new loans the bank can extend?</h3>

The reserve ratio is the amount of deposits that must be kept as reserves with the central bank. The money that is not kept as reserves can be used to create loans.

Maximum loan amount = deposit - (reserve ratio x deposits)

1,000,000 - (0.2 x 1,000,000) = $800,000

To learn more about required reserves, please check: brainly.com/question/26960248

#SPJ11

You might be interested in
Students in mr. mckay's class are generating ideas about ways to deal with the problem of limited resources for the homeless hig
Vlad [161]

The approach that Mr. McKay is using in the setting is the problem based learning. The PBL or the Problem based learning is defined as a student centered pedagogy by which students are likely to learn a particular subject based from the experience of having to solve open ended problem found in a material that triggers it.

5 0
3 years ago
How are trade deficits related to foreign capital inflows and investment in the united states? gov 312l
liq [111]

As foreign capital inflows offset by the trade deficit shift into the national debt, it frees up capital for private investment and increases U.S. productivity.

This is how trade deficits related to foreign capital inflows and investment in the united states.

Trade includes the transfer of goods or services from one person or organization to another person or organization. Often the goal is money. Economists call the system or network that enables trade a market.

Trade is defined as the general marketplace for buying and selling goods, a way of making a living, or the act of bartering or buying or selling something. An example of a trade is the tea trade where the United States buys tea imported from China.

Active futures traders use a variety of analyzes and methods. From ultra-short term technical approaches to basic buy and hold strategies, there is a strategy for everyone.

Learn more about trade here:brainly.com/question/17727564
#SPJ4

5 0
2 years ago
The Jabba Corporation manufactures the "Snack Buster" which consists of a wooden snack chip bowl with an attached porcelain dip
Masja [62]

Answer:

The fixed overhead cost that can be eliminated if the bowls are purchased from an outside supplier is a relevant cost. The variable selling cost of the snack is also a relevant cost.

The correct answer is A

Explanation:

Relevant costs are costs that relate to future decisions. All variable costs are relevant for decision-making. Eliminated fixed overhead are also relevant for decision-making.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                

3 0
3 years ago
A mission statement should include the following​ components: A. ​Customers, products/services,​ markets, and competitors B. ​Su
ivanzaharov [21]

Answer:

The correct answer is (a)

Explanation:

A mission statement is an important factor which helps a company to attract customers and show them why their company is different and competitive. A mission statement should include a description of product and services, and it should depict the importance of customers. It should also include little information regarding the competitors. Mission statement is the first thing customers notice when they visit a website.

3 0
3 years ago
Contribution margin per unit and break-even units LO P2 SBD Phone Company sells its waterproof phone case for $90 per unit. Fixe
anastassius [24]

Answer:

Instructions are below.

Explanation:

Giving the following information:

Selling price= $90

Unitary variable cost= $36

Fixed costs= $135,000

First, we need to calculate the contribution margin per unit.

Contribution margin= selling price - unitary variable cost

Contribution margin= 90 - 36= $54

To calculate the break-even point in units, we need to use the following formula:

Break-even point in units= fixed costs/ contribution margin per unit

Break-even point in units= 135,000 / 54

Break-even point in units= 2,500 units

8 0
3 years ago
Other questions:
  • How would age determine which investment strategies you would choose?
    7·2 answers
  • Why would legislation most likely ask interest groups to help shape public policy?
    14·1 answer
  • A strategy that focuses on increasing the attractiveness of a product is referred to as a​
    9·1 answer
  • What is the admirals feast for red lobster
    7·1 answer
  • Harper, Inc. acquires 40 percent of the outstanding voting stock of Kinman Company on January 1, 2017, for $210,000 in cash. The
    11·1 answer
  • On which of the following levels are databases not used?
    6·1 answer
  • Presented below is information for Marin Company.
    12·1 answer
  • Downtown Stores can issue equity at a flotation cost of 8.76 percent and debt at 5.93 percent. The firm currently has a debt-equ
    9·1 answer
  • Answer each of the following independent questions. Required: Alex Meir recently won a lottery and has the option of receiving o
    7·1 answer
  • Select the statement that is true of common stock. Companies issue dividends to common stockholders before preferred stockholder
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!