Answer:
a. The discount rate is the
- interest rate at which banks can borrow reserves from the Federal Reserve.
The discount rate is the interest rate that the FED charges commercial banks, credit unions, or other financial institutions for lending them money.
b. If the Fed were to decrease the discount rate, banks will borrow
- more reserves, causing an increase in lending and the money supply.
Lowering the discount rate is considered part of an expansionary monetary policy since banks will borrow more money and lend more money to the public, increasing the money supply.
Answer:
15.8%.
Explanation:
Calculation for XYZ's cost of equity using the CAPM
Using this formula
Cost of equity = Rrf + βi[E(Rm) - Rrf]
Let plug in the formula
Cost of equity= 6% + 1.06×[15.25% - 6%]
Cost of equity= 6% + 1.06×9.25%
Cost of equity= 15.8%
Therefore the Cost of equity will be 15.8%
35 its just 5 x 7 you multiply the number of eggs by how many minutes.
Answer:
The statement is true
Explanation:
Marketing strategy is the strategy which is defined as all of the marketing objective as well as goals of the company combined into a one or a single comprehensive plan. It is the one which develop and create marketing mix.
It is designed in order to develop or promote the good and service so that the business could earn or make profit.
So, the statement is true as it is stating that the strategies involve selecting activities and define 1 or more target markets. Also maintain and develop the marketing mix.
Answer:
patent 301,350 debit
cash 301,350 credit
franchise 633,600 debit
cash 633,600 credit
development expense 189,000 debit
cash 189,000 credit
year-end adjustment:
amortization expense 50,225 debit
patent 50,225 credit
amortization expense 31,680 debit
patent 31,680 credit
Explanation:
The patent and franchise will be activate as there is a certain possibility to produce positive cashflow in the future.
They will be adjusted at year-end for amortization:
301,350 / 6 = 50,225 amortization on patent
633,600 / 10 = 63,360 amortization on franchise
As it was concede on July 1st then, we will do half-year
63,360 / 2 = 31,680
The development cost will be treated as expense as there is no precise information that can determined the development cost which yield a positive outcome.
