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Keith_Richards [23]
3 years ago
14

If the Fed carries out an open market operation and buys U.S. government​ securities, the federal funds rate​ ________ and the q

uantity of reserves​ ________.
Business
1 answer:
vitfil [10]3 years ago
7 0

Answer:

decreases,  increases

Explanation:

An open market operation where the government buys securities increases the money supply so the Federal funds rates increases. Because of the increase in money supply, the reserves held by banks would increase.

the federal funds rate​ is the interest rate at which banks can borrow or lend excess reserves overnight

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T/F: If Harold runs a grocery store and is making a normal rate of return, we can infer that he is also making an economic profi
Misha Larkins [42]

Answer:

False

Explanation:

It does not necessarily means that when a firm gets a normal rate of return, it earns economic profit also, as it depends on various factors:

  • In the short run every firm aims to recover its variable cost, and in it's long term duration to recover its total cost, but it does not necessarily conclude that the return will attain the level of earning economic profit.
  • Normal rate of return is based on competitive market, as an average rate of return on market, but if the investment is made from borrowed funds, it might be that the company is not able to pay the cost of borrowing in that case it is even after attaining the normal rate of return it will not earn economic profit.
3 0
2 years ago
Technoid Inc. sells computer systems. Technoid leases computers to Lone Star Company on January 1, 2018. The manufacturing cost
Llana [10]

Answer:

$89,350

Explanation:

Calculation to determine the outstanding balance of the lease liability in Lone Star's December 31, 2018, balance sheet

First step is to calculate the Balance after first payment

Initial lease liability $130,000

Less: First payment $23,000

Balance after first payment $107,000

Second step is to calculate the Interest expense for June 30,2021

Interest expense for June 30,2021= $107,000*5%

Interest expense for June 30,2021=$5,350

Third step is to calculate the Principal payment for June 30,2021

Principal payment for June 30,2021=$23,000-$5,350

Principal payment for June 30,2021=$17,650

Now let calculate the Outstanding balance on June

Balance after first payment. $107,000

Less: Principal payment for June $17,650

Outstanding balance on June $89,350

Therefore the outstanding balance of the lease liability in Lone Star's December 31, 2018, balance sheet is $89,350

8 0
3 years ago
________ now command about 45 percent of all retail sales in the united states. factory outlets joint agreements franchises acqu
butalik [34]

___ now command about 45 percent of all retail sales in the United States.

Franchises

4 0
3 years ago
Does Apple's common stock have a par value? If so, how much was the reported par value per share? How many shares of common stoc
vlabodo [156]
The par value for shares of Apple is $0.000015
7 0
3 years ago
As Vince described his firm's landscape maintenance program to the buyer for Allentown Medical Center, Alex (the buyer) interrup
sasho [114]

Answer:

Direct denial

Explanation:

In responding to obejections one can use various methods that suits the particular situation. A person can provide a logical argument when the objection is valid in a bid to convince the other party that their product is suitable for their needs.

In this instance Vince's firm has been in operation for over 15 years. The objection that start-up landscaping firms go in and out of business in just a few months can be answered with a direct denial.

Vince told them the business is not a startup but has been in business for 15 years.

8 0
3 years ago
Read 2 more answers
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