Answer:
A rise in demand for reserves will shift the demand for reserves curve to the right which will cause a rise in interest rates. The Fed will then have to act to reduce this interest rate because they would prefer that it remained at the specific rate as mentioned.
To do this they will embark on Open Market Operations aimed at increasing money supply as this will reduce interest rates by increasing the supply of reserves because it will shift the supply curve for reserves to the right. The new equilibrium will be a lower interest rate.
The relevant Open Market Operation will be the buying of bonds from the public.
Answer:
correct option is a. $203,846
Explanation:
given data
Assets Investment = $207,544
face value = $200,000
yield = 4%
coupon rate = 6%
to find out
Investment in HTM security report on balance sheet
solution
we get here balance that is express as
balance = Assets Investment + Interest @4 - Interest Paid .................1
balance = $207,544 + ( $207544 × 4% ) - ( $200000 × 6% )
balance = $207,544 + $8,302 - $12,000
balance = $203,846
so correct option is a. $203,846
A grace period is a period after one fails to pay his bills during which the bank does not bother you to pay it as long as the grace period lasts. It can be useful because you can plan on when you will pay your credit card bills based on how big your grace period is.
Answer:
The answer is option C. car owners wanting car repairs and supply represented by automotive and glass repair and replacement companies.
Explanation:
After earthquakes hit the California coast and damaged tens of thousands of cars, there was a growing demand and need for automotive repair, glass replacement, dent repair and repainting.
Demand is a good or service that consumers are willing and able to purchase at various prices during a given period of time.
In this situation, the car owners are wanting car repairs will be willing to purchase glass and other damaged parts of the car, as well as pay for the services of repairs.
While the automotive and glass repair and replacement companies will handle the supplies and repairs.
Answer:
$57,600
Explanation:
The computation of the depreciation expense under the Double-declining balance method is shown below:
First we have to find the depreciation rate which is shown below:
= 1 ÷ useful life
= 1 ÷ 5 years
= 20%
Now the rate is double So, 40%
In year 1, the original cost is $240,000, so the depreciation is $96,000 after applying the 40% depreciation rate
And, in year 2, the $144,000 × 40% = $57,600
The $144,000 is come from
= $240,000 - $96,000
= $144,000
