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Nadya [2.5K]
4 years ago
9

Assume $1,000 is deposited in a checkable account by Mr. Y in Bank A. Assume further that the reserve requirement is 0.10. The i

nitial amount of money which can be created by this excess reserve within Bank A is $________ .
Business
1 answer:
scZoUnD [109]4 years ago
6 0

Answer:

$900

Explanation:

As $1,000 is deposited in the account by Mr. Y in the Bank A. But the further requirement of the reserve is 0.10. So, it will amounts to:

Amount of reserve requirement = Amount deposited × Requirement of reserve

where

Amount deposited is $1,000

Requirement of reserve is 0.10

= $1,000 × 0.10

= $100

Therefore, the initial amount of the money that created by excess reserve is:

= Amount deposited - Amount of reserve requirement

= $1,000 - $100

= $900

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Stock prices start to rise:
LenaWriter [7]

Answer:

b.when the unemployment rate begins to decline following a recession.

Explanation:

In a recession there is usually a general decline in economic activities and a resultant decrease in spending. When recession occurs people will have less money to spend on buying stock so prices will fall s a result of reduced demand.

If however the economy is coming out of recession, economic activities are picking up, and unemployment begins to decline. This will lead to greater economic wealth, people will have more money to spend and demand for shares will rise. This will in turn lead to rise in price of shares.

5 0
4 years ago
Budgets ______. Multiple select question. and the budgeting process can uncover potential bottlenecks before they occur force ma
RoseWind [281]

Answer: and the budgeting process can uncover potential bottlenecks before they occur.

force managers to think about and plan for the future.

define goals and objectives that can serve as benchmarks for evaluating subsequent performance.

coordinate the activities of the entire organization by integrating the plans of its various parts

Explanation:

Budgets are used in communicating the plan of managements throughout an organization.

Budgets and the budgeting process can uncover potential bottlenecks before they occur.

Budgets force managers to think about and plan for the future.

Budget define goals and objectives that can serve as benchmarks for evaluating subsequent performance.

Budget coordinate the activities of the entire organization by integrating the plans of its various parts

5 0
3 years ago
No
Sergeeva-Olga [200]
The answer is: few. i think im not sure
4 0
3 years ago
Unlike a bond issue, in which the entire issue is brought to market at once, _______ is partially sold on a continuous basis thr
Alex_Xolod [135]

Answer:

euro medium-term note

Explanation:

Based on the information provided within the question it can be said that the term being mentioned is a euro medium-term note. This is a debt instrument that require fixed payments that are issued to the market and allows the borrower to retrieve these funds if actually needed on a flexible basis. These are usually only traded and issued outside of the U.S. and Canada.

3 0
3 years ago
Evans Company sends invoices to all clients for services rendered for a total of $4,150. Required: What is the effect of this tr
mart [117]

Answer:

A. An asset account increases.

G. Retained Earnings increase.

Explanation:

The starting point for this analysis would be using the double entries for the transaction,hence the invoicing of customers would give rise to the below entries:

Dr  Receivables (asset increases)                        $4,150

Cr Sales revenue(increase in retained earnings)              $4,150

Ultimately, the correct options are A,an asset account increases and G retained earnings increase,since the sales revenue brings about net income that would be recorded as part of retained earnings at the close of the period under consideration

3 0
3 years ago
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