Answer:
The explanation is given as follows.
Explanation:
<u>Task 1: </u>
<u>The higher the percentage of assets a bank holds as loans, the higher the capital requirement.</u>
When the owners of the bank borrow $100 to supplement their existing reserves , both reserves and debt increase by $100 , therefore increase in debt as in any balance sheet , the total value of accounts on the left hand should be equal to the right hand , so when there is increase in reserves , there will be increase in debt.
<u>Task 2:</u>
<u>It specifies a minimum leverage ratio for all banks
</u>
leverage ratio initially = total assets / capital = 1750 / 125 = 14
leverage ratio new value = total assets / capital = 1850 / 125 = 14.8 ( the assets increase by $100 with increase in reserves)
<u>Task 3</u>
<u>Its intended goal is to protect the interests of those who hold equity in the bank.</u>
Capital requirement are there to ensure that bank have enough capital to repay the depositors and debtors and if a bank holds a higher percent of risky assets , capital requirements will be higher so that the bank remains solvent hence option a is right answer.
Answer: Push Strategy.
Explanation:
Pull strategy is applied by Pearl sands to draw customers to their holiday spot, by presenting their holiday spot as irresistible to their customers.
Pull strategy is an advertisement strategy used by marketers to draw customers to their product, by various means of adverts using Mass media and forms of advertisement.
The regulatory cycle provides an opportunity for self-regulation during the latency stage. The statement is False.
<h3>What is the latency stage?</h3>
The latency stage will last for six years until puberty. This is referred to as the fourth stage of psychosexual development. No additional psychosexual growth happens at this stage since the desire is inactive.
A phase of discovery during which the reproductive energy is restricted or inactive is known as the latent period. This power is still there, but it has been transferred to other activities like learning and networking and plays a crucial role.
Therefore, the statement is False.
Learn more about the latency stage, here:
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If the Moisturizing Black soap shampoo is currently positioned in the product life cycle the stage is called <span>Maturity
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Answer:
C.
Explanation:
The law of demand states that when the price of a good or service increases, the quantity demanded decreases and when the price decreases the quantity demanded increases (other things constant).
Is not option A because it says changes in income and not changes in prices. Is not option B because it says the opposite that the law of demand states: when the muffins price is low, Melissa buys fewer than when the price is high. Is not option D because the law of demand is not directly related with substitute goods. It is option C because when the price is low ($0.25) Dave buys more donuts than when the price is high ($0.50)
