Answer:
(a) $15
(b) $35
(c) 4
(d) $80
Explanation:
Given that,
Initial deposit = $20 bill
Required reserve ratio = 25%
(a) Money lend out by bank is as follows:
= Amount of deposit - Reserve requirement
= $20 - ($20 × 0.25)
= $20 - $5
= $15
(b) Money in the economy changed:
= Initial deposit + Amount of money lend out by bank
= $20 + $15
= $35
(c) Money multiplier:
= 1/ Required reserve ratio
= 1/ 0.25
= 4
(d) Money will eventually be created by the banking system:
= Change in deposits × Money multiplier
= $20 × 4
= $80
Answer:
D) or E) (are this the same?) 50 units of grain and 130 units of incense
Explanation:
Agland has an advantage producing Organic grain, and Zealand producing Incense, So:
If Agland specialices in producing organic grain it would produce with 20 workers 200 units of grain a year.
If Zealand specialices in producing Incense, it would produce with 10 workers 150 units of incense a year.
This gives a Total combined output of 200 units of grain and 150 unit of incense a year.
Given that the total current output of the two countries is 150 units of grain and 20 units of incense it would increase in 50 units of grain and 130 units of incense.
Answer: <u><em> The measured-GDP would increase by $5 billion.</em></u>
Explanation:
Given :
Inventories fall by $2 billion,
Consumption increases by $8 billion,
Welfare Payments decline by $3 billion,
Export increases by $1 billion
Import also increases by $2 billion.
Note: While calculating GDP we will not include Welfare payments in it.
GDP = 
GDP = $5 billion
Answer:
lack of parental care and training
Hope that helps!
The residual income for the Division A of Magnolia Company for an income from operations of $80,000 will be $32,000.
<h3>What is residual income?</h3>
Residual Income is the total of total income from operations less the minimum acceptable rate of return on the deployed assets for such operations over a financial period.
Using the above information, it can be ascertained that the residual income will be,
Hence, the residual income will be as computed above.
Learn more about residual income here:
brainly.com/question/27330050
#SPJ1
