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Ivanshal [37]
3 years ago
6

What happens if the fed sells $5 billion worth of treasury bonds on the open market?

Business
1 answer:
gulaghasi [49]3 years ago
4 0
<span>The Fed sells of reserve bonds to affect the money supply on the open market. Therefore, the fed sells $5 billion worth of T-bonds, then that means they will be taking out a big lump out of your bank put down. In the meantime, the fed sells might pump $5/billion into the financial system by incomplete set aside banking into the grouping and it’s more like $50/billion and the Fed gets the Bonds and the financial system gets the money. Will have to the fed wish to take out cash from the market, it could sell those bonds and take cash out of the economy in trade for bond.</span>
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You need a 35-year, fixed-rate mortgage to buy a new home for $340,000. Your mortgage bank will lend you the money at an APR of
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Answer:

$338,712

Explanation:

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present value = $340,000

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I prepared an amortization schedule using an excel spreadsheet. During the first years, the principal is only decreasing by $1 each month

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Answer and Explanation:

The Journal entries are shown below:-

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(Being annual payment of lease is recorded)

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