1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
rosijanka [135]
3 years ago
12

The balance sheet below reflects Zee Bank after its purchase of $50 million in government securities from the Fed. Assume a requ

ired reserve ratio of 10%, that banks hold no excess reserves, and all currency is deposited into the banking system. Assets Liabilites and net worth Reserves $15 million Liabilities: Checking Deposits $150 million Loans $275 million Net Worth $190 Treasuries $50 million How did the purchase of $50 million in government securities from the Fed affect the money supply
Business
1 answer:
UkoKoshka [18]3 years ago
3 0

Answer:

$500 million

Explanation:

The solution of the money supply and its effect is here below:-

Decrease in money supply = $50 million ÷ reserve ratio

= $50 million ÷ 10%

= $500 million

If $50 million were used to repay loans, that will have raised money supply. Thus, buying $50 million in government securities from the fed reduces the supply of capital.

You might be interested in
Suppose that the only café in town can sell five fish dinners per night at a price of $10 each. If this monopoly firm wants to s
UNO [17]

Answer:

a.$4

Explanation:

initial price of fish dinner per piece was= $10

no. of fish dinner sold = 5

total initial revenue= 5*10= $50

new price of fish dinner = $9

and now six  fish dinners are sold

new revenue= 6*9= $54

therefore the marginal revenue from the sixth dinner sold= 54-50= $4

hence option a is correct

4 0
3 years ago
Bayest Manufacturing Corporation uses a predetermined overhead rate based on direct labor-hours to apply manufacturing overhead
Lemur [1.5K]

Answer:

$ 44000

Explanation:

Given:

Actual overhead manufacturing cost, Ac = $ 352000

Actual direct labor hours, Ah = 56000

Estimated manufacturing overhead cost, Ec = $ 330000

Estimated direct labor hour, Eh = 60000

Now,

Predetermined Overhead Rate = Ec/Eh

on substituting the values in the above formula we get

= $ 330000/60000 = 5.5

also,

Underapplied Overhead = Ac + (Ah × Predetermined Overhead Rate)

on substituting the values in the above formula we get

Underapplied Overhead = 352000 - (56000 × 5.5)

or

Underapplied Overhead = $ 44000

3 0
3 years ago
How would you build a culture of quality in an organization such as arnold palmer hospital?
77julia77 [94]

Explanation:

An organizational culture must be based on values ​​of integrity, ethics and reliability. Through these values, organizations achieve several benefits that directly impact the internal and external environment.

Integrity can be understood as the company's non-negotiable values, such as compliance with legal and human requirements that protect its employees and customers.

Ethics must be applied to all organizational processes and in all hierarchies, the relationship between boss and employees, as well as with suppliers and customers must be based on ethical values ​​that promote equality, respect and security of the rights of each individual.

And reliability is achieved through good practices in society and well-established values, which demonstrate good corporate governance and socio-environmental development practices.

In a hospital, for example, it is necessary for the organizational culture to be based on excellent service, in addition to effective communication, reliable professionals, quality equipment, problem solving staff, hygiene, etc., which are values ​​that demonstrate the values ​​and commitment of the institution with patient health and public service.

6 0
3 years ago
Which of the following measures the percentage change in earnings before interest and tax(or operating cash flow) associated wit
Anton [14]

Answer:

1. Measure of the percentage change in earnings before interest and tax or operating cash flow:

B) Degree of operating leverage

2. P/E Ratio of 10 indicates that:

c. ​The value of the stock will be 10 times the initial investment at the time of maturity.

Explanation:

Company B's degree of operating leverage is the financial measure that shows the degree of change of the operating income of the company in relation to a change in her sales revenue.  With this measure, investors and analysts of Company B are able to evaluate how sales impacts the company's operating income.  There are many ways to measure a company's degree of operating leverage.  One of the methods subtracts the variable costs of sales and divides that number by sales minus variable costs and fixed costs.

Company A's P/E ratio or price/earnings ratio is the measure of the relationship between the current market price and its earnings per share.  It is used to evaluate the value of the company's stock.  It points out whether the company's stock is undervalued, overvalued, or correctly valued.

4 0
3 years ago
1. Assume a closed economy, perfectly elastic labor supply, and linear technol-ogy. Suppose the incremental capital-output ratio
Vera_Pavlovna [14]

Answer:

<u>Using the Harrod-Domar growth equation</u>

Growth rate = Saving rate / Capital output ratio

Growth rate = 0.01 / 3

Growth rate = 0.003

Growth rate = 0.3%

Thus, the value of growth rate is 0.3%

When the incremental capital-output ratio is 3, to achieve the 5% growth rate, the gross saving rate is 0.24 or 24%

Exogenous growth: When the labor supply is perfectly elastic, then the exogenous does not allow any factor to substitute

Endogenous growth: When the labor supply is perfectly elastic, theem the exogenous does not lead to address the savings decision or sources of productivity growth.

8 0
3 years ago
Other questions:
  • What is a vital point for most marketers
    13·1 answer
  • Which of the following should you do before taking the PSAT?
    13·2 answers
  • Pat used to work as an aerobics instructor at the local gym earning $35,000 a year. Pat quit that job and started working as a p
    12·1 answer
  • Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received
    8·2 answers
  • Celestin Manufacturing Company incurred $5,000 of depreciation on its manufacturing equipment during its first year of operation
    14·1 answer
  • 2. How has Taobao created economic opportunities for Chinese entrepreneurs that were inaccessible to them before?
    8·1 answer
  • Ethel is having a Halloween party at her house and you can’t remember where she lives! You know that Mildred doesn’t live next d
    9·1 answer
  • Consider public policy aimed at smoking. Studies indicate that the price elasticity of demand for cigarettes is about 0.2. If a
    14·1 answer
  • Marketers provide value to the consumer and other stakeholders by doing all of these with their offerings except which?
    11·1 answer
  • Han Products manufactures 22,000 units of part S-6 each year for use on its production line. At this level of activity, the cost
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!