Answer:
The correct answer is unwillingness of borrowers to obtain loans from banks to invest in factories or expansion of the firm.
Explanation:
Solution
<em>Given that:</em>
Leakage problem occurs or happens within an economy when the money goes out of the economy, which leads to a loss in the economic value of goods and services, and also leads to loss in profits making.
This would lead to an unwillingness of borrower's to obtain loans from banks in the expansion of the firm or to invest in factories.
Answer:
Solution for question 1
It is not necessary that action that lower the short term interest rate will lower the long term interest rate also.
So given statement is false.
Solution for question 2
Because of subprime crisis in 2008 most of the Market collapsed and there is a huge problem of liquidity. Yield on US treasury security was decreased and so the price of treasury securities was increased.
Hence, given statement is true.
Solution for question 3
Countries with strong balance sheet mean countries are developed and so interest rate in these countries is lowered.
Hence, given statement is true.
Solution for question 4
One of the major function of Federal Reserve is to control economic activities. In the Era of globalization all countries economy is depend on other economy. So interest rate in USA highly dependent on other countries.
Hence, given statement is true.
The answer to this question should be True!!!!!!!!
Answer:
Cash Dr $9,808,729
To Premium on bond payable $2,008,729
To Bond payable $7,800,000
(Being the issuance of the bond payable is recorded)
Explanation:
The journal entry for issuance of the bond is shown below:
Cash Dr $9,808,729
To Premium on bond payable $2,008,729
To Bond payable $7,800,000
(Being the issuance of the bond payable is recorded)
For recording this we debited the cash as it increased the assets and credited the premium on bond payable as issued amount is more than the face value plus the liabilities is also increased so the bond payable is also credited
Answer: the last one
Explanation:
Communicating frequently with your manager
