All categories

3 years ago

A bank run involves:

Business

1 answer:

Aleonysh [2.5K]3 years ago

5 0

Answer:

The correct answer is letter "B": large numbers of depositors withdrawing their deposits within a short period of time.

Explanation:

A bank run is a situation in which account holders massively withdraw their funds under the fear the financial institution will lose its liquidity. The situation gets to a point in which the bank is at risk of sensing all its reserves and fail to provide all its clients the money they deposited.

In the U.S. financial institutions with deposits between $16 and $122.3 million must have a minimum reserve of 3%. When the deposits exceed $122.3 million the minimum reserve increases to 10%. The rest of the money is reinvested by banks.

You might be interested in

Maria's initial project budget was increased from 16,000 to 18,000 . What was the variance from the initial budget

algol [13]

It increased by 2000

4 0

3 years ago

At the beginning of the recent period, there were 1,050 units of product in a department, 35% completed. These units were finish

White raven [17]

Answer:

Answer for the question:

At the beginning of the recent period, there were 1,050 units of product in a department, 35% completed. These units were finished and an additional 5,500 units were started and completed during the period. 1,000 units were still in process at the end of the period, 25% completed. Using the weighted average method, the equivalent units produced by the department were__________.

Is given in the attachment.

Explanation:

3 0

3 years ago

Sandel Company makes 2 products, footballs and baseballs. Additional information follows: Footballs Baseballs Units 4,000 2,500

aleksandr82 [10.1K]

Answer:

Contribution margin per unit Footballs $6 per unit, Baseballs $7.2 per unit.

Baseball.

Explanation:

FootBalls:

Sale Price per unit = Sales / Units

Sale Price per unit = $60,000 / 4,000 units

Sale Price per unit = $15 per unit

Variable Cost per unit = Variable Cost / Units

Variable Cost per unit = $36,000 / 4,000

Variable Cost per unit = $9 per unit

Contribution Margin per unit = Sale Price per unit - Variable Cost per unit

Contribution Margin per unit = $15 per unit - $9 per unit

Contribution Margin per unit = $6 per unit

Baseballs:

Sale Price per unit = Sales / Units

Sale Price per unit = $25,000 / 2,500 units

Sale Price per unit = $10 per unit

Variable Cost per unit = Variable Cost / Units

Variable Cost per unit = $7,000 / 2,500

Variable Cost per unit = $2.8 per unit

Contribution Margin per unit = Sale Price per unit - Variable Cost per unit

Contribution Margin per unit = $10 per unit - $2.8 per unit

Contribution Margin per unit = $7.2 per unit

Contribution Margin per Unit tells Sandel that which product contribute higher in consuming fixed cost after contributing the variable cost from sales, in order to earn greater profit. Hence, Sandal should tell his people to emphasize on Baseball, as have, higher Contribution Margin per unit.

4 0

3 years ago

At December 31, 2020, the following information was available for Concord Corporation: ending inventory $35,750, beginning inven

Evgen [1.6K]

Answer:

a. Inventory Turnover = 5.299 times or 5.30 times

b. Days in Inventory = 69 days

Explanation:

To calculate the inventory turnover, we first need to find out the avergae inventory. The average inventory is calculated by adding the opening and the closing inventory and dividing the sum by 2.

Average Inventory = (35750 + 63500) / 2 = $49625

The inventory turnover is,

Inventory Turnover = Cost of Sales / Average Inventory

Inventory Turnover = 263000 / 49625 = 5.299 times or 5.3 times

Days in inventory is the period for which, on average, the inventory is kept and sold completely.

We can calculate days in inventory simply by dividing the number of days for which we are calculating the ratio for, say in this case one years or 365 days by the inventory turnover ratio we calculated.

Days in inventory = 365 / 5.30 = 68.8679 or 69 days

4 0

3 years ago

Main supplies is a publicly traded firm with 250,000 shares of stock outstanding. if the firm issues an additional 10,000 shares

Olenka [21]

A publicly traded company with 250,000 outstanding shares of stock is called Main Supplies. If the company offers 10,000 more shares, they will be referred to as Seasoned Equity Offering.

Any share issue that occurs after a company's Initial Public Offering (IPO) on the stock market is referred to as a Seasoned Equity Offering also known as a Follow On Offering. Therefore, the corporation issuing the securities is already publicly traded and is returning to the market to raise further funds. A Secondary Offering is the sale of shares by existing shareholders, whereas a Seasoned Equity Offering is the issue of shares to the public following an IPO.

To learn more about Seasoned Equity Offering Here

brainly.com/question/2699653

#SPJ4

7 0

1 year ago