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All commercial banks must keep an account with the Central Bank. These balances are used for cheque clearing purposes between banks. Payments for cheques between banks are set off at the Central Bank’s clearing house. The Central Bank can also demand commercial banks to deposit a certain percentage of their total deposits with the central bank in order to control the money supply.
The Central Bank is a lender of last resort and will aid commercial banks when needed. The Central Bank dictates the interest rate that commercial banks can offer by setting the bank rate. This is the interest rate set by the Central Bank and the rate at which commercial banks and the Central Bank do business, e.g. loans offered by the Central Bank to commercial bank.
Answer:
$651
Explanation:
For computation of Break-even monthly rent per apartment first we need to find out the monthly rent which is shown below:-
Monthly costs = Mortgage payment + Real estate taxes + Insurance costs + Maintenance costs
= $940 + ($1,440 ÷ 12) + ($900 ÷ 12) + (2 × ($1,000 ÷ 12)
= $940 + $120 + $75 + $167
= $1,302
Break-even monthly rent per apartment = Monthly costs ÷ 2
= $1,302 ÷ 2
= $651
Therefore we have applied the above formula.
We ignored the income tax as it is not relevant also it is tax deductible expense
Answer:
$2.82
Explanation:
The CPI is the measure of the average changes in prices of consumer goods and services. The CPI compares current prices and prices at the base year.
CPI is expressed as a percentage. It represents the cost of goods in a given year divided by the cost of goods in the base year multiplied by 100.
In 1970, the movie price was $0.50, and CPI was 38.8%
in 2011, CPI was 218.8%; the movie price will be?
in 1970: $0.50 =38.8%
in 2011: ? = 218.8%
?= 218.8/38.8 x $0.50
?=5.6392 x 0.50
=$2.81896
=$2.82
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