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Olegator [25]
2 years ago
9

If the fed lowers the reserve requirement:____.

Business
1 answer:
irakobra [83]2 years ago
6 0

So, correct option for your question is C. more money is available to loan
When the Federal Reserve cuts the reserve ratio, it lowers the amount of cash that banks are required to store in reserves, allowing them to make more loans to individuals and companies.  This increases the nation's money supply and expands the economy.

Reserve Requirements:
Based on a portion of the cash that customers have on hand, banks lend them money. In exchange for this power, the government imposes one requirement on them: maintain a minimum balance of deposits to cover potential withdrawals. The reserve requirement is the amount that banks must hold in reserve and are not permitted to lend above. Both the requirement and the interest rate that banks are paid on excess reserves are established by the Board of Governors of the Federal Reserve. The Federal Reserve is authorised to pay interest on excess reserves under the Financial Services Regulatory Relief Act of 2006. The start date for interest payments to banks was October 1, 2011. As a stand-in for the federal funds rate, this interest rate is known as the interest rate on excess reserves.

To learn more about Reserve Requirements
brainly.com/question/25812353
#SPJ4

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Answer:

The total amount was $4419.76

Explanation:

The 5% of $4000 is $200 so after a 2 year period added to the amount the original deposit of $4000 then A is the correct and closest equal amount.

7 0
3 years ago
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"Pick an organization within the airline industry that you are familiar with or interested in learning about. Identify an exampl
Usimov [2.4K]

Answer:

Pick an organization within the airline industry that you are familiar with or interested in learning about. Identify an example of when a favorable cost variable would not be good news for the performance of the organization.

What department would be responsible for the variance? What would you recommend to correct the variance? Explain your reasoning.

Explanation:

In the Jet airways example, if the package price stays the same or higher but gettting a positive variation, good news are fake as this means that the number of passengers that were expected to travel, in fact diminished.

6 0
4 years ago
Sean​ quimby, vice president of human resources at​ zipcar, says the company is looking for applicants who embody the value of​
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I believe this is an example of: <span>nondirective Interview.
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4 years ago
Ned Douglas owns Ned’s Blankets. Ned asks you to explain how he should treat the following reconciling items when reconciling th
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In accounting, the purpose of reconciliation is to compare two sets of records for correction and make sure they are in agreement.

Here, Ned have some items which needed to be reconciled with the company’s bank account.

  1. For "the Outstanding checks", he should deduct the amount from balance per bank
  2. For "a deposit in transit", he should add to balance per bank
  3. For "the bank charged to our account a check written by another company", he should add to balance per bank and notify the bank of its error.
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Learn more about this here

<em>brainly.com/question/22929135</em>

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3 years ago
Aggregating potential car buyers into groups that have common needs and will respond in the same way to a marketing mix is a pro
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Explanation:

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