The quantity theory of money predicts that the inflation rate will be 4% if the money supply increases by 6%, real GDP increases by 2%, and the velocity of money remains constant.
All the money and other liquid assets present in an economy on the measurement date are referred to as the money supply. The money supply roughly consists of deposits that can be utilized virtually as easily as cash in addition to actual currency.
Governments issue coin and paper money supply through a mix of national treasuries and central banks. By dictating to banks what reserves they must maintain, how to offer credit, and other financial issues, bank regulators have an impact on the amount of money that is available to the general people.
By regulating interest rates and altering the amount of money flowing through the economy, economists study the money supply and create policies based on it. Because the money supply may have an impact on price levels, inflation, and the business cycle, both the public and private sectors conduct analyses. The most significant determining factor in the money supply in the United States is Federal Reserve policy. The term "money stock" also applies to the money supply.
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Answer:
b. $55,000
Explanation:
The movement in the dividend payable account which represents the difference between the payable opening an closing balances. This difference is due to dividend paid during the year as well as dividend declared and can be shown by the equation below.
Opening balance + Declared dividend - dividend paid = closing dividend
$20,000 + $60,000 -dividend paid = $25,000
Dividend paid = $20,000 + $60,000 - $25,000
= $55,000
One employee may have more deductions than the other employee, such as a larger number of dependents, or may be choosing to pay more of her paycheck into Social Security.
<span>You can provide cheaper bottled water, therefore giving customers an option for cheaper water. You can heavily market in your area in order to get the word out as well.</span>
Answer:
Explanation:
unearned rent 6000 (debit)
Rent revenue. 6000 (credit)
to record 2 months of realized rent revenue