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love history [14]
1 year ago
10

Atlantic+bank+is+required+to+hold+10%+of+deposits+as+reserves.+if+the+central+bank+increases+the+discount+rate,+how+would+atlant

ic+bank+respond?
Business
1 answer:
ohaa [14]1 year ago
3 0

In this case the Atlantic bank will respond by increasing its bank reserves.

Bank reserves is the minimal amount of cash that financial institutions must keep on hand in order to comply with central bank standards . The purpose of the cash reserve regulations is to make sure that every bank has enough cash on hand to handle any significant and unforeseen demand for withdrawals.

The federal discount rate is the interest rate that the Federal Reserve  bank charges banks to borrow money from it.

A higher discount rate makes it more expensive for banks to borrow, which reduces the amount of money available and reduces investment activity.  In contrast, a decline in the discount rate lowers the cost of borrowing for commercial banks, which increases the amount of credit that is accessible and lending activity across the economy.

To learn more about  bank reserves here

brainly.com/question/16196841

#SPJ4

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The financial statements for Harold Corporation contained the following information:
vagabundo [1.1K]

Answer:

so net income is $45000

Explanation:

given data

Accounts receivable =  $5000

Sales revenue =  75000

Cash = 15000

Salaries and wages expense = 20000

Rent expense = 10000

to find out

net income

solution

we will find net income by the given expression as

net income = Sales revenue - Rent expense - Salaries and wages expense   .......................1

put here all these value in equation 1 we get net income

net income = 75000 - 10000 - 20000

net income = 45000

so net income is $45000

7 0
2 years ago
On a production possibilities​ frontier, 500 pounds of apples and​ 1,200 pounds of bananas can be produced while at another poin
klasskru [66]

Answer:

The opportunity cost of producing a pound of bananas is 2 pounds of apples.

Explanation:

At a point on the production possibilities frontier, 500 pounds of apples and 1,200 pounds of bananas are being produced.

When quantity of bananas is increased by 100 pounds from 1,200 to 1,300 pounds, the quantity of apples declined by 200 pounds, from 500 pounds to 300 pounds.

The opportunity cost of producing a pound of bananas

= \frac{What\ is\ sacrificed}{What\ is\ gained}

= \frac{200}{100}

= 2 pounds of apples

5 0
3 years ago
Why are free market economies able to grow?
Neko [114]
Free market economy is a system that is solely based on the supply and demand and that there is very little or no governmental control at all. This type of government is able to grow because of its flexibility depending on the needs of the consumers and not on the imposed law by authorities. 
7 0
2 years ago
What are the steps for the software engineering institute model for risk management?
Dahasolnce [82]

Answer:

A

Explanation:

Identify, analyze, plan, track, and control

4 0
2 years ago
The Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA) resulted in implementation of risk contracts, which are arrangement
Sever21 [200]

Answer:

Capitated

Explanation:

Based on the information given the implementation of the risk contracts by TEFRA is to ensure that are medical arrangements are made among providers in order to provide CAPITATED health care services to Medicare beneficiaries.

CAPITATED health care services can be seen as the way in which medical treatment payment are made to the providers of health care service in advance for the sole aim of providing medical services or treatment to patient which are the Medicare beneficiary that have registered and assigned to them for a specific period of time.

6 0
2 years ago
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