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emmainna [20.7K]
3 years ago
10

If the federal open market committee decides to increase the money supply, then

Business
1 answer:
OLEGan [10]3 years ago
8 0

Answer:

the Federal Reserve creates dollars and uses them to purchase government bonds from the public.

Explanation:

The money supply is increased by the Federal Reserve Open Market Committee under expansionary monetary policy actions to increase the level of aggregate demand in the market and push the level of output when business activity in the economy is low and the economy is experiencing a recession.

The FOMC creates dollars and uses them to purchase government bonds from the public that injects money in the market by increasing the credit creation capacity of commercial banks. As the money supply increases, the spending capacity of consumers is increased, either by lowering the cost of debt on their credit cards or by increasing employment in the market with increased investments by firms as they borrow with greater zeal when the cost of borrowing is low.  

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BRAINLIEST TO FIRST CORRECT ANSWER TY
Alisiya [41]
10. none of the above.
explanation: all of the reason are applicable for determining the homeowners insurance premium.
11. Whole life insurance
Explanation: whole life insurance, has steady, more expensive premiums than term insurance since it lasts a lifetime and includes fixed death benefits and guaranteed cash value accumulation.
5 0
3 years ago
You are considering opening a new plant.
kotykmax [81]

Answer:

1. $275 million

Yes

2. 30%

Explanation:

Calculation for the NPV of the investment opportunity

NPV = –100 + 30/0.08

NPV= $275 million

Therefore the NPV will be $275 million

Yes, Based on the above Calculation they should make the investment

2. Calculation for IRR

IRR: 0 = –100 + 30/IRR

Hence,

IRR = 30/100

IRR = 30%

Therefore the IRR will be 30%

The IRR is great only in a situation where the cost of capital does not go beyond 30%.

6 0
2 years ago
In May of 2021, Raymond Financial Services became involved in a penalty dispute with the EPA. At December 31, 2021, the environm
Naily [24]

Answer:

$914,000

Explanation:

Based on the information given we were told that Raymond accepted an EPA which is fully known as Environmental Protection Agency settlement offer of the amount of $914,000 which means that the amount that Raymond should have reported as the ACCRUED LIABILITY on its December 31, 2021, balance sheet should have been EPA settlement offer of the amount of $914,000.

5 0
2 years ago
Use the following information to determine this company's cash flows from financing activities.a. Net income was $466,000. b. Is
Leni [432]

Answer:

The answer is ($174,000)

Explanation:

Cash flows from financing activities show the inflow and outflow of cash that are used to fund the business's operations.

Cash flow from financing activities:

Issuance of common stock......................................$79,000

Payment of dividend........($13,000)

Settlement of notes payable.................................($125,000)

Payment for treasury stock.........…...........................................($115,000)

Net cash from financing activities...............................($174,000)

5 0
2 years ago
Tim buys a house from Betty in 2011 for $200,000. Betty receives $185,000 and $15,000 goes to Mary, the real-estate agent. Betty
Step2247 [10]

Answer:

$15,000 

Explanation:

Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.

When calculating GDP, only items produced in the current year are added. The house had been sold in 2007. Adding the sale to the GDP in 2011 would lead to double counting.

It's only the amount paid to the agent that would be added to GDP.

I hope my answer helps you

5 0
2 years ago
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