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Bumek [7]
3 years ago
11

The interest rate charged on overnight loans of reserves between banks is A) federal funds rate. B) prime rate. C) Treasury bill

rate. D) discount rate
Business
1 answer:
eimsori [14]3 years ago
7 0

Answer:

A) federal funds rate

Explanation:

At the end of every day, banks are required to have a certain percentage of deposits on hand (the government sets the amount so that banks don't loan out all of their money at once). In order to have the right amount on hand, banks loan each other money at the federal funds rate of interest.

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<em>texes will be paid.</em>

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With a discount of 3.4% at $39.8 (3.4%*39.8) current price per stock makes the total cost per stock after discount= $38.4.

Dividing the reinvestment dividend plan over the discounted price (135/38.4) = 3.5 new shares, According to the requirements of law the investor must still pay tax annually on his or her dividend income, whether it is received as cash or reinvested.

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When choosing a savings account to open, you should look for:
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