Answer:
the money supply in Macroland will increase from <u>5,000</u> econs to <u>7,000</u> econs
Explanation:
Currently, Macroland's money supply = 2,000 econs held by the public and 3,000 econs held by the banks (= 300 econs x 1/0.1).
In order to determine the increase in the money supply we must multiply the inflow of econs by the money multiplier. The money multiplier = 1 / reserve ratio = 1/0.1 = 10.
Since the government is injecting 200 econs to the economy, the increase in the money supply = 200 econs x 10 = 2,000 econs.
So now, Macroland's money supply will increase from 5,000 to 7,000 econs.
The money multiplier measures the banking system's ability to "create" money. The banking system creates money by first receiving deposits, e.g. you deposit 10 econs in your savings account, and then lending money to another client. The bank will lend 9 econs (-10% required reserve) to John that will purchase a bike. The seller of the bike receives the money form John and deposits the 9 econs in his own bank. Then this second bank will lend 8.10 econs to Sarah. Sarah will use the money to purchase a new computer and a printer from Tom. Tom then deposits the money in his bank, and then his bank lends 7.29 econs to Sally, and the wheel goes on and on.
This money creating process is possible because Macroland uses a fractional banking system, which means that the banks are only required to keep a fraction of total deposits as reserves.
In this type of situation, both Ramsay and the company will be investigated for the tax fraud case. Even if Ramsay was found not guilty, the company will still be investigated since the company is a separate entity and there is an alleged big amount hidden in company's assets. If the company is found guilty, it will still be liable for the case even if Ramsay was found not guilty. Most likely, the investigators will try to tie the case back to him anyway since he is one of the main representatives of the company.
Answer:
Instructions are below.
Explanation:
Giving the following information:
Beginning inventory= 5,220 pounds
Production:
January= 4,500 units
February= 5,900 units
4 pounds of raw materials are needed for each unit
The estimated cost per pound is $7.
Management desires an ending inventory equal to 29% of next month’s materials requirements.
First, we need to calculate the number of pounds needed for each month:
January= 4,500*4= 18,000 pounds
February= 5,900*4= 23,600 pounds
<u>Direct material budget January:</u>
Production= 18,000
Desired ending inventory= (0.29*23,600)= 6,844
Beginning inventory= (5,220)
Total pounds= 19,624
Total cost= 19,624*7= $137,368
The appropriate response would be "no". Assume the p-esteem is 4%. That is sufficient to dismiss the invalid speculation at the 5% noteworthiness level, however insufficient at 3%. 3% is a higher (lower numerically) hugeness limit. It implies the chances are much lower that the watched result could have happened by shot.
Answer: The observed correlation is most likely due to the effect of a lurking variable, such as age.
Explanation: A lurking variable is a variable that is not included as an explanatory or response variable in the analysis but can affect the interpretation of relationships between variables. A lurking variable can falsely identify a strong relationship between variables or it can hide the true relationship.
