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Irina-Kira [14]
1 year ago
7

Using the taylor rule, if the current inflation rate equals the target inflation rate and real gdp equals potential gdp, then th

e federal funds target rate equals the?
Business
1 answer:
Marrrta [24]1 year ago
3 0

Using Taylor's rule, if the current inflation rate equals the target inflation rate and real GDP equals potential GDP, then the target federal funds rate equals the current inflation rate plus the real equilibrium federal funds rate.

Inflation can be defined as an increase in prices, which can be translated as a decrease in purchasing power over time. The rate of decline in people's purchasing power can be reflected in the increase in the average price of a selected basket of goods and services over a period of time. An increase in price, which is often expressed as a percentage, means that one unit of currency is effectively buying less than it did in the previous period. Inflation can be contrasted with deflation, which occurs when prices fall and people's purchasing power increases.

You can learn more about inflation here brainly.com/question/28190771

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8 0
3 years ago
Wells Company's delivery truck, which originally cost $70,000, was destroyed by fire. At the time of the fire, the balance of th
beks73 [17]

Answer:

D) $17,500 gain.

Explanation:

Wells Company should record the following transactions:

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  • Cr Gain on Disposal account 17,500

$40,000 in cash was received and the accumulated depreciation balance should equal to zero, therefore they must be debited.

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4 0
3 years ago
A _________ works outside established organizational divisions and has greater flexibility to apply innovative approaches to new
ivanzaharov [21]

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5 0
3 years ago
The controller for Clint Eastwood Co. is attempting to determine the amount of cash to be reported on its December 31, 2014, bal
NISA [10]

Answer:

The amount of $8,707,170 of cash and cash equivalents to be reported on Eastwood Co.

Explanation:

Cash reported  December 31,2014 = Commercial savings account + Commercial checking account  + Money market fund + Petty cash fund + Commercial paper  + Currency and coin on hand

=$698,340 + $830,320 + $5,044,440  + $1,900 + $2,124,020 + $8,150

= $8,707,170

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8 0
3 years ago
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Answer:

no

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3 0
3 years ago
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