Answer:
Reserve requirements have an indirect relationship with the money supply
Explanation:
Reserve requirements are a portion of customer deposits a bank is supposed to keep in its custody at all times. The federal reserve gives guidance on the proposition of reserve requirement that a bank should hold. Reserve requirement is usually a percentage of the deposits. Banks cannot loan out their reserves.
Reserve requirements have an inverse relationship with the money supply in the economy. If the reserve requirement is high, banks will have a lower proposition of customer deposits to loan out. When reserve requirement is low, banks will have a bigger proposition of deposits to loan out, thereby increasing the money supply in the economy.
Since there are different flavors I will try to see which of my flavors cost the most and which cost the least. Next I will see what are the qualities of each drink and first give a few samples out and determine which flavor I most liked and which flavor is least liked out of all. As soon as I have all of my information gathered I will set my prices for each and every different flavor as I think it should be and I will also do a little research online to see kind of where each of my prices need to range from.
Answer:
Answer is $50.94 or $50.9
Explanation:
The present value of a stock along with the continuous growth is one of the formulas that are being used in the dividend discount model, particularly as it relates to stocks that the speculation assumes will increase perpetually.
Please find the detailed answer as follows:
Current Value
= 1.25/(1+.12)^3 + 1.25*(1+75%)/(1+.12)^4 + 1.25*(1+75%)^2/(1+.12)^5 + 1.25*(1+75%)^2*(1+7%)/(1+.12)^5*(12%-7%) = $50.94 or $50.9
Answer is $50.94 or $50.9
Thanks.
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-hope this helps!!
Answer:
Explanation:
Price ceiling is a price regulatory system put in place by the government to check how high the price of a product can be. It is binding when it is set below the equilibrium price consequently leading to shortage of goods , but non binding if set above the equilibrium price since the price can still fall back to the equilibrium.
When shortage arises as a result of price ceiling being set below the equilibrium price , black market is formed to resolved the shortage with price set by supply and demand. Goods will be illegally sold at prices above the price ceiling.
The effect on black market in the short run will not be severe as the as demand and supply are still at the inelastic stage , but becomes severe in the long run due to elastics demand and supply.