1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
NeTakaya
3 years ago
8

5. Use the information below to answer question 5:

Business
2 answers:
ipn [44]3 years ago
8 0

Answer:

a. 200

b.900

c. 10

Explanation:

a) Excess reserves = total reserves – required reserves

                                     = 400 (given) – (deposits* required reserve ratio of which is usually 10%, so we assume it is 10%)

                                     = 400 – (2000* 10%)

                                     = 400-200

Excess reserves          = $200

b) Monetary base   = total reserves + currency  

                                   = 400 + 500 (given)

Monetary Base (B)     = $900  

c) The money multiplier is calculated as 1 divided by the required reserve ratio

Money multiplier = 1 / 10%

                             = 10

NemiM [27]3 years ago
5 0

Answer:

(a) Excess reserves = 200

(b) Monetary base (B) = 900

(c) Money multiplier = 10

Explanation:

Assuming that the required reserve ratio (missing in the question) is 0.1:

(a) Excess reserves = Reserves - Required reserves

Reserves = 400

Required reserves = Deposits x Required reserve ratio

                               = 2000 x 0.1

                               = 200

Hence, Excess reserves = 400 - 200

                                        = 200

(b) Monetary base (B) = Reserves + Currency

                                    = 400 + 500

                                    = 900

(c) Money multiplier = 1 / Required reserve ratio

                                 = 1 / 0.1

                                 = 10

You might be interested in
What is the present value of 10 equal payments of $16,500 to be made at the end of each year for the next 10 years?
fiasKO [112]

Answer:

$101,385

Explanation:

The question is incomplete. The complete question can be found here- https://www.chegg.com/homework-help/questions-and-answers/present-value-10-equal-payments-16-500-made-end-year-next-10-years-annual-interest-rate-10-q41891258

Here is the complete question - What is the present value of 10 equal payments of $16,500 to be made at the end of each year for the next 10 years? The annual interest rate is 10%. (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided. Round your answer to the nearest whole dollar.

The present value of cash flow can be found by discounting the present value of the cash flow by 10%

This can be found using a financial calculator:

Cash flow for year 1 - 10 = $16,500

I =10%

Present value = $101,385

I hope my answer helps you

6 0
3 years ago
The Wiley Oakly Company has just gone public. Under a firm commitment agreement, Wiley received $21.39 for each of the 7.75 mill
Zarrin [17]
And I don’t know how you can get e
6 0
3 years ago
A small wine and cheese store in Milwaukee sells dozens of different type of cheese: Bulgarian, French, Danish, Greek, and a dom
agasfer [191]

The domestic variety is cheaper because there is no import duties or no charges imposed on it because of the import from other countries.

<u>Explanation:</u>

A country produces a lot of goods and services in it's own economy using the resources which are present in it's own country. But the goods and the services that are not available in the country but are demanded by the citizens of the country are imported from other countries.

When these goods and services are imported from other countries then there is an imposition of duties or taxes on those goods making the charges of those goods high. With the transportation of the goods from one country to the other, then also some cost is imposed on the good. This increases the cost or the price of the good.

5 0
3 years ago
What is an example of a flame
solong [7]
If you mean like anY kind of example of flame, a lighter flame is a good example.
Anything that uses gas to emit a flame
6 0
3 years ago
Social Security Multiple Choice Is a Defined Benefit Pension Plan Is offered by local governments Is an optional Pension Plan Is
worty [1.4K]

Answer:

In simple words, Retired, incapacity, as well as survivor payments are all part of the Social Security program. In its nature, it is very much like a defined benefit pension plan.

Most employees contribute Social Security levies on their income to apply for many of these claims; claimants' advantages are dependent on the wages earner's payments. Aside from that, benefits like Supplemental Security Income (SSI) are dependent on use.

4 0
2 years ago
Other questions:
  • Mooradian Corporation’s free cash flow during the just-ended year (t = 0) was $250 million, and its FCF is expected to grow at a
    10·1 answer
  • Kate recently invested in real estate with the intention of selling the property one year from today. she has modeled the return
    5·1 answer
  • Imagine your 16-year-old daughter wants to attend a Friday night high school party, and you do not know who will be attending. U
    13·1 answer
  • Which of the following actions differentiates an entrepreneur from other small business owners?
    15·1 answer
  • Your text describes the macroenvironmental factors that operate in the external environment by which acronym?
    10·1 answer
  • In general, if a consumer good is produced domestically and consumed domestically, an increase in its price will have which of t
    11·1 answer
  • The construction industry uses which of the pricing methods
    5·1 answer
  • Businesses, individuals, and governments often need to raise capital, while others have surplus funds. In a well-functioning eco
    13·1 answer
  • A financial statement is a summary of all the financial transactions that have occurred over a particular period. Also financial
    6·1 answer
  • why might investors prefer stock dividends over cash dividends? a.) if they are seeking flexibility b.) if they are seeking a pr
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!