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Dovator [93]
3 years ago
6

The depositors of JS bank were worried that the value of this​ bank's assets was less than the value of its​ liabilities, so the

y started to withdraw their deposits from the bank. This expanding panic and rising flood of withdrawals is called ___.
Business
1 answer:
MissTica3 years ago
3 0

This expanding panic and rising flood of withdrawals is called Bank Run.

<u>Explanation: </u>

Bank run means many customers of the bank withdraw their deposits due to the fear that the bank might become insolvent. When many customers withdraw their funds then the bank might not be able to meet the withdrawals with the available funds.

This further increases the risk of the bank to default when all the customers withdraw their deposits. This is because the banks hold only little amount as cash in hand while the rest of the bank's wealth is invested in long term assets.

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If the scale of a single producer is small relative to the demand for an undifferentiated good, the market structure of the prod
dalvyx [7]

The market structure of the producer will be described as ''Perfect Competition".

As in perfect competition, there are homogenous goods or products from different sellers involved in the market. While monopoly completion also involves many sellers but the products in the market are differentiated (non-homogenous).

Undifferentiated or homogenous goods are less effective on the market as there are too many sellers in the market. Due to that in the above condition a producer is producing the respective goods on a smaller level.

So, he will not affect the market and this clearly shows that the market is perfectly competitive by structure.

For more content like Market Competitions this visit:

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3 0
2 years ago
When using a distributed workforce, collaborators are chosen based on ____.?
Lelu [443]
When using a distributed workforce, collaborators are chosen based on competence and intentions. In this type of workforce, location is not important. They recruit people locally or internationally as long as they have the same intentions as the company and are willing to collaborate efficiently.
3 0
3 years ago
The standard deviations of individual stocks are generally higher than the standard deviation of the market portfolio because th
NISA [10]

Answer:

has specific risk

Explanation:

Standard deviation is a measure of central tendency. It measures the variation of data from a central value. As such variables with high standard deviation have values far from the central value while standard deviation close to the central value is low.

So when individual stocks have higher standard deviation it means prices are less stable than that of market portfolio.

This can be attributed to them having specific risk. The market is not subject to diversification risk so prices tend to fluctuate less

6 0
3 years ago
Arbitrage means taking advantage of temporary differences in market prices to make a profit. Assume two real estate companies, A
Nadusha1986 [10]
Please help me with my questions
7 0
3 years ago
Mauro Products distributes a single product, a woven basket whose selling price is $12 per unit and whose variable expense is $1
brilliants [131]

Answer:

  1. 1200 BEPunits
  2. $14,400 BEP dollars
  3. second scenario
  •      1200 BEPunits
  • $14,400 BEP dollars

Explanation:

\frac{Fixed Cost}{contribution margin}  = BEPunits

contribution margin = Sales - Variable Cost

12 - 10 = 2 contribution margin

fixed expenses = 2,400

BEP = 2,400/2 = 1,200 units

<u>Resuming: </u>each unit contributes with $2 dollars therefore it needs to sale  1,200 untis to pay the fixed cost.

units x sales price = sales revenue

1,200 x 12 =  14,400 BEP in Dollars

Also it is posible to get this by using contribution margin ratio

in the BEP formula:

\frac{Fixed Cost}{Contribution Margin Ratio} = BEPdollars

contribution margin/sales price = 2/12 = 1/6

fixed cost /contribution margin ratio = 2,400/(1/6) = 14,400

Scenario were fixed cost increase:

increase in fixed/contribution margin + previous BEP = BEPunits

increase in fixed/contribution margin ratio + previous BEP = BEPdollars

600 fixed cost /contribution margin = 600/2 = 300 more units to our prevous 1,200 total of 1,500

600 fixed cost /contribution margin ratio = 600/(1/6) = $3,600 more sales revenue to our prevous 14,400 total of 18,000

3 0
2 years ago
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