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3 years ago

What are the relationship between household and commercial bank

Business

1 answer:

Sindrei [870]3 years ago

6 0

Does this help?

All commercial banks must keep an account with the Central Bank. These balances are used for cheque clearing purposes between banks. Payments for cheques between banks are set off at the Central Bank’s clearing house. The Central Bank can also demand commercial banks to deposit a certain percentage of their total deposits with the central bank in order to control the money supply.

The Central Bank is a lender of last resort and will aid commercial banks when needed. The Central Bank dictates the interest rate that commercial banks can offer by setting the bank rate. This is the interest rate set by the Central Bank and the rate at which commercial banks and the Central Bank do business, e.g. loans offered by the Central Bank to commercial bank.

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How long would it take for the price level to double if inflation persisted at the following percentages?

Alekssandra [29.7K]

Answer:

inflation rate = 17.5 percent per year ⇒ it will take 4 years to double

inflation rate = 35 percent per year ⇒ it will take 2 years to double

inflation rate = 3.5 percent per year ⇒ it will take 20 years to double

Explanation:

we can use the rule of 70 to determine the amount of time it would take the general price level to double.

the rule of 70 is a simple way we can use to estimate the number of years it will take an investment to double given a certain growth rate.

70 / 17.5 = 4 years

70 / 35 = 2 years

70 / 3.5 = 20 years

3 0

3 years ago

Your local bakery gives you information on consumer purchasing habits for muffins and cupcakes. It tells you that, when the pric

raketka [301]

Answer:

c. 0.25

Explanation:

Cross-price elasticity = [(Q2-Q1/)((Q1-Q2)/2) * 100] / [(P2-P1/)((P1-P2)/2) * 100]

Cross-price elasticity = [(65-55)/((65+55)/2)*100] / [(2-1)/((1+2)/2)*100]

Cross-price elasticity = 16.6667/66.6667

Cross-price elasticity = 0.25000037

Cross-price elasticity = 0.25

8 0

3 years ago

On february 28th of 1986, _____________ starts her first solo world tour, starpeace, planning both u.s. and european dates. due

Monica [59]

Yoko Ono is the answer

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3 years ago

Chapter 11: Sport Sponsorship

Jet001 [13]

There are different kinds of activities. The process of undertaking activities to enhance and service a sponsorship once a sponsorship deal has been agreed to

<h3>What are sponsorship activities?</h3>

Sponsorships are is known to be the financial or also called an in-kind support of any kind of activities.

Businesses often sponsor things such as events, trade shows, groups, etc. so that they can reach also their business goals and boast their competitive advantage.

Learn more about sponsorship activities from

brainly.com/question/9433922

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2 years ago

Twenty additional kayakers pay $3,000 ($150 each), in addition to the $4,000 that was paid in advance on July 30, on the day of

lisabon 2012 [21]

Answer:

Dr Cash (3,000)

Cr Deferred Revenue (4,000)

Cr Service Revenue (Clinic) (7,000)

Explanation:

Preparation of the appropriate journal entry

Since we were told that kayakers pay the sum of $3,000 at $150 each, by adding to the $4,000 that was already paid in advance on July 30 this means we have to record the transaction by Debiting Cash with the amount of (3,000); Crediting Deferred Revenue with the amount of (4,000) and Crediting Service Revenue (Clinic) with the amount of (7,000)

Note that the credit side of the transaction which is Deferred Revenue of 4,000 -Service Revenue (Clinic) of 7,000 will give us (3,000)

Journal entry

Dr Cash (3,000)

Cr Deferred Revenue (4,000)

Cr Service Revenue (Clinic) (7,000)

7 0

3 years ago