M1 is reserves which can easily be converted to cash. Such amounts should always be reserved as liquid in the banks.
A. The deposit of $20,000 increases M1 by 10% of the amount deposited. That is,
M1 increase = 0.1*20,000 = $2,000.
B. Part 1
Amount to be loaned out = Deposit - (Total reserve*Deposit) = 20,000 - [(2*0.1)*20,000] = 20,000 - 4,000 = $16,000
B. Part 2
Increase in money supply = 20% of deposit - 10% of deposits = Deposit (20%-10%) = 20,000 (0.2 -0.1) = 20,000(0.1) = $2,000
Answer:
It is linear because there's a constant change in both x and y
Step-by-step explanation:
There is a constant change in x: +3
There is a constant change in y: -2
Therefore, the slope is -3/2, making the function linear.
Answer:
= 11
Step-by-step explanation:
using the rule of logarithms
x = n , then x = , so
11 = a ⇒ 11 =
<h2> .</h2><h2> . . . .</h2><h2> . . . . .</h2>
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8 9 10 11 12 13 14 (number of hours spent)
dot plot