Answer:
Reserve requirement = 20% or 0.250
Simple money multiplier = 1/Reserve Ratio = 1/0.2 = 5
Note that,
Increase in money supply = Increase in total reserves * Simple money multiplier
$100 Billion = Increase in total reserves * 5
Increase in total reserves = $20 billion
This means that the federal reserve should decrease the reserve requirement by purchasing $20 billion worth of US government bonds from banks, which will lead to increase of $100 billion in money supply.
Answer:
an offer and an acceptance
Explanation:
Here, in this particular case, the valid contract will require an agreement i.e. an offer and an acceptance which is further backed personally by the legally adequate consideration that is made by the individuals or groups that tend to have legal competence to embark into a contract, and thus the legal ambition.
Option C is cotrrect answer - $304.50
<u>Explanation:</u>
The mean is calculated by adding all the values and then dividing it by the number of units. In general terms mean is also called as an average.
As per the given question:
Mean cost of repairing a starter of four multifarious vehicles is to be found out
The cost given are : $316, $443, $249, $210, Number of vehicles = 4
In order to calculate mean, first of all, sum has to be found out of four vehicles
Sum = $316+ $443+ $249+ $210 = $1218
Now, this sum is to be divided by the number of units that is 4 = $1218 divided by 4 = $304.50
Hence, mean = $304.50
They will most likely not raise their prices.
If you look at the kinked demand curve, deviating from the market price will lead to losses for the firm. Increasing the price will lead to a loss in sales as price rigidity is a characteristic of an oligopolistic market, whereas if the firm lowers prices, this will invoke a price war and everyone will end up fighting for lower prices and customers.
