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Juliette [100K]
3 years ago
14

Consider the actions of the Fed in response to the Great Recession. Which of the following scenarios should the Fed be worried a

bout if its objective is increasing aggregate demand?
Choose one:

A. People expect the Fed to respond to the downturn with an expansionary policy.
B. Increasing the money supply could decrease aggregate demand.
C. Monetary policy is effective in the long run.
D. Small changes in the federal funds rate would destabilize the economy.
Business
2 answers:
Naily [24]3 years ago
8 0

Answer:

The correct answer is letter "B": Increasing the money supply could decrease aggregate demand.

Explanation:

The Aggregate Demand is a macroeconomic term describing the total demand in an economy for all goods and services at any given price level in a given period. As such, aggregate demand is the demand for the gross domestic product of a country. The relationship between the price level and the goods and services provided is inversely proportional which implies that the price level rises, the goods and services will have less demand and vice versa.  

In that case, if the money supply increases so will the price levels but the goods and services provided will see a dropdown so will the aggregate demand.

lisabon 2012 [21]3 years ago
5 0

Answer: A

Explanation: ik it’s right just trust me.

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A portfolio manager is considering the purchase of a bond with a 5.5% coupon rate that pays interest annually and matures in thr
dmitriy555 [2]

Answer:

The price of the bond is closest  $101.36  

Explanation:

It is noteworthy that a rational investor pays for a bond today the cash flows derivable from the bonds in future discounted to today's terms.

The future cash flows comprise of the yearly coupon interest of $5.5(5.5% *$100) for 3 years as well as the repayment of the principal $100 at the end of year 3.

To bring the cash inflows today's term, we multiply them  them by the discounting factor 1/(1+r)^N , where is the yield to maturity of 5% and N is the relevant the cash flow is received.

The discounting is done in attached spreadsheet leading $ 101.36  present value today.

Download xlsx
7 0
3 years ago
Action learning uses challenging, structured outdoor activities, which include difficult sports.A. TrueB. false
mixas84 [53]

Answer: The answer is True.

Explanation: Action learning uses challenging, structured outdoor activities, which may include difficult sports such as dog-sledding or mountain climbing. ... Employees are most likely to learn when the training is linked to their current job experiences and tasks.

6 0
3 years ago
Define CAMELS, why it was created and how the system works, and give the names of six factors of CAMELS
bearhunter [10]
  1. Capital adequacy
  2. Asset quality
  3. Management
  4. Earnings
  5. Liquidity
  6. Sensitivity

CAMELS is an international rating system to rate banks, it was created in the United States as a supervisory rating system.

In order to ensure their financial strength, banks have periodic examinations by a Office of the Comptroller of the Currency. Bank examiners issue CAMELS, a numerical rating to the bank as a result of the examination, examiners score each bank in the six factors listed above. Banks score between 1 and 5 in each category (1 being the highest).

Hope this helps, HAVE A BLESSED AND WONDERFUL DAY! As well as a great Valentines Day! :-)  

- Cutiepatutie ☺❀❤

5 0
3 years ago
The level of inventory of a manufactured product has increased by 8,000 units during a period. The following data are also avail
LiRa [457]

Answer:

There will be a difference in the income .

Absorption costing income will be lower as it transfers all the fixed costs to the ending inventory.

Variable costing income will be higher as it does not transfer  the fixed costs to the ending inventory.

The difference will be  of $ 104000

Explanation:

Increase in units 8000                                                              

                                                              Variable       Fixed

Unit manufacturing costs of the period $24.00 $10.00

Unit operating expenses of the period    8.00       3.00

Total Unit Costs                                       $ 32.00    $ 13.00

The net operating income under variable costing for the year will be $ 13* 8000= $ 104000 Lower than the net operating income under  absorption costing.  This is because the all fixed costs will be treated as period cost rather than product costs.

In variable costing the ending inventory will be $104000 lower than the ending inventory under absorption costing  because the fixed costs will not be allocated to products.

Under variable costing, the units in the ending inventory will be costed at $32 each.Under absorption costing, the units in the ending inventory will be costed at $32+ $ 13= $ 45 each.

7 0
3 years ago
SWOT analysis is a method of determining external strengths and weaknesses and internal opportunities and threats. True False
Kamila [148]

Answer:

False

Explanation:

SWOT analysis is a method of determining external strengths and weaknesses and internal opportunities and threats is a FALSE statement. SWOT analysis means

Strength

Weakness

Opportunities

Threat

Strength and weaknesses are the internal factors not external ones, strength and weakness comes from inside of the organisation. Any organisation capability to serve the customers well, having red hot selling products, creative employees can be its strength. If these elements are not performing well, they can become the weakness as well, therefore, SW is related with the internal environment of the organisation.

In the same way, opportunities and threats are posed by the outside environment, they are not internal elements and factors. Political, social, technological and legal environment can create both treat as well new and exciting opportunities for the organization.

3 0
3 years ago
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