Answer:
a. When drawing conclusions, make sure you summarize and explain your findings.
b. Tips for writing recommendations:
A. Your recommendations should always be the result of prior logical analysis.
B. Your recommendations should never be in the form of a command.
Explanation:
A good conclusion touches the theme or main topic, summarizes the main points, and connects with the introduction, but with a sense of closure. Conclusions should be sound and logical. Irrelevant conclusions are annoying to the senses. Without a conclusion, the report will sound like one illogical move without clear direction and purpose.
Recommendations should address improvement efforts based on the problem(s) presented in the body of the report.
Answer:
B. maintain reserves
Explanation:
The Federal Reserve expects commercial banks to retain a percentage of customers' deposits in their custody at all times. The amount retained in custody is known as reserves. It means the banks cannot loan out that reserve amount. It should be kept in the bank's vaults or with the Federal Reserve.
The reserve caters to the regular and unexpected withdrawals. The Federal Reserve determines the percentage to be retained as reserves. The reserve requirement is also a monetary policy tool for the Federal Reserve.
clearing checks
acting as government fiscal agent
supervising members bankers
regulate money supply
supply paper currency
setting reserve requirements
Answer: 12.29%
Explanation:
Municipal bonds are tax exempt and so are attractive for this reason. If John is to be indifferent between the two, the corporate bond would have to offer a return that when adjusted for tax, will give the same return as the municipal bond.
Assume that return is x;
x * ( 1 - 17%) = 10.2%
0.83x = 10.2%
x = 10.2%/0.83
x = 12.29%
Answer:
B) False
Explanation:
Margin of safety measures the percentage difference between actual sales and break even sales.
Margin of safety acts like a buffer zone that the Company can lose before it stops making profits.
Margin of safety is calculated as follows:
Margin of Safety = (Current sales - break even sales) / Current sales
30% margin of safety indicates that the Company can bear to lose 30% of its sales before it reaches to break even level.
Net profit margin of 30% shows that every dollar of sales earns 30 cents in profit.
