Answer:
c. more off-balance-sheet activities.
Explanation:
Large banks typically have more off-balance-sheet activities and more loans per dollar assets which lead to an increase in average cost.
Larger banks have lower equity capital than smaller banks thereby paying higher interests on their funds.
Larger banks have lesser core deposits than smaller banks. Smaller banks rely more on core deposits with rates not varying as open market rates, whereas large bank depend on wholesale funds that vary with market rates.
Answer:
Opportunity costs are defined as the additional costs or benefits lost from choosing one activity or investment over another alternative. It is a relative concept because you cannot be 100% sure that the other investments or activities would have yielded a specific gain.
For example, when you calculate the economic cost of starting your own business, you consider your current salary as an opportunity cost. But what happens if you get fired (or the company closes), your opportunity cost would have been $0? Or how can you exactly measure your future salaries? Maybe in a couple of years you get promoted to manager, or maybe not?
The same applies to economies, since the opportunity cost of producing certain tradable goods is not always fixed, it might decrease or increase due to productivity or efficiency changes. But in order to calculate or determine we must include the most probable option.
In microeconomics, a strictly convex production possibilities frontier function must include a combination of both goods. In strict convexity, the second derivative f''(x) ˃ 0, so the PFF curve cannot be straight, it must have a slope.
When we calculate the opportunity costs of PPF, we usually try to determine which product has the lowest opportunity cost, but that is not an interior solution because both goods are not being produced (the curve is not strictly convex). On a strictly convex curve, as you approach the extremes the opportunity cost of producing one good is high, but on the center the opportunity cost is much lower.
Answer: Interest on a Note Payable is most appropriately accrued: "B. as of the end of each accounting period during which the note is a liability.".
Explanation: As long as the Note Payable remains a liability and has not yet reached its due date, according to the accrual principle, at the end of each accounting period the accrued interest must be recognized, and when the Note payable reaches its expiration it must remain with balance 0 the interest not accrued account.
Answer:The answer is shares
Explanation:
A share is a unit of capital of a company which a company issued out to the members of the public for subscription. It is usually issued out to the members of the public in denominations for example $1, the capital of a limited company is divided into the following shares which are
Ordinary shares : This is also known as common shares, it is a share which carry the main risk of the business. The holders of ordinary shares are not guaranteed a dividend at the end of the year because this depends on whether or not the company's make profit. If the company makes profit holders of ordinary shares will receive dividend .however, the holders of ordinary shares have a voting right at the annual general meeting of the company.
Preference shares : The owners of these shares receive fixed rate of interest per annum for example 10% or more.holders of these shares receive preference in the payment of dividend, and also in the repayment of capital if the company is forced to wind up. Therefore, preference shareholders are safer than the owners of ordinary shares.
Cumulative preference shares : The owners of this shares can have their losses in income in bad years made up in good years. This means they can accumulate their dividends, if the company does not have enough money to pay preference shareholders in a particular years,they will therefore get their money in later years.
Participating preference shares : The holders of participating preference shares receive a fixed dividend and also received an additional dividend if the company makes a profit above a certain level.
Deferred shares : These are special types of shares which carry particular rights and privileges. They are sometimes issued to the promoters and founders of a company. Holders of deferred shares do not receive any dividend untill all other types of shareholders have been paid.
However, a person can sold his or her interest in a business corporation which means such a person has sold his or her own shares in the business. This can be done through a stockbrokers, the stockbrokers look for buyers for members of the public who wants to sell shares and sellers for those who wants to buy shares. They are paid a commission known as brokerage for their services.
Answer: aggregate demand; left; lower; lower; higher
Explanation:
If the economy is initially in equilibrium at full employment real GDP (QN), and a stock market crash reduces household wealth and lowers investor confidence, ceteris paribus, the (aggregate demand) curve will shift to the (left) resulting in a (lower) price level (P), (lower) output/real GDP level (Q), and (higher) unemployment level (U).
It should be noted that the crash in the stock market will lead to lesser funds in the economy and lessee funds with households and this will lead to reduction in the demand for goods which will shift the demand curve to the left.
aggregate demand; left; lower; lower; higher