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11111nata11111 [884]
3 years ago
12

Suppose the reserve requirement is 5​%. What is the effect on total checkable deposits in the economy if bank reserves increase

by ​$50 ​billion? A. ​$250 billion increase B. ​$10 billion increase C. ​$50 billion increase D. ​$1 comma 000 billion increase
Business
1 answer:
madam [21]3 years ago
5 0

Answer:

D. ​$1 comma 000 billion increase

Explanation:

The reserve requirement ratio determines the total amount of checkable deposits a bank must keep.

In this case the reserve ratio it's 5%, which means that the total amount of deposits cannot exceed an amount equal to 20 times its reserves.  

If the reserves increase by $50 billion then $50/0,05 = 1.000 billion increase.

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A natural monopolya. exists when many sellers experience lower average total costs than potentialcompetitors do.b. exists when a
liq [111]

Answer:

e. exists when a single seller experiences lower average total costs than any potential competitor.

Explanation:

A monopoly is a market structure which is typically characterized by a single-seller who sells a unique product in the market by dominance. This ultimately implies that, it is a market structure wherein the seller has no competitor because he is solely responsible for the sale of unique products without close substitutes. Any individual that deals with the sales of unique products in a monopolistic market is generally referred to as a monopolist.

For example, a public water supply company is an example of a monopoly because they serve as the only source of water provider to the general public in a society.

A natural monopoly exists when a single seller experiences lower average total costs than any potential competitor because of the very high start-up or initial cost and economy of scale.

8 0
2 years ago
Incorporators are required to sign the charter, deliver it to the proper state officials, and purchase a certain percentage of t
alex41 [277]

The statement " Incorporators are required to sign the charter, deliver it to the proper state officials, and purchase a certain percentage of the initial stock offering " is FALSE.

Explanation:

Incorporation of a business means making a company officially known by the company's sole property or general partner. If a company forms, it becomes a legal structure separating the individuals who founded the company.

Even though a company does not have a office there, the company must always have a registered agent within the state of incorporation.

Incorporation provides shareholders with immunity from personal liability for the company's debts.

8 0
3 years ago
On December 16, 2015, B. Darin Company received $5,000 from S. Dee Company for rent of an office owned by B. Darin Company. The
WITCHER [35]

Explanation:

The journal entry is shown below:

Unearned rent revenue Dr  $1,250

              To Rent revenue  $1,250

(Being the unearned rent revenue is recorded)

The computation is shown below:

= Received amount ÷ number of months × given number of months

= $5,000 ÷ 2 months × 0.5 months

= $1,250

So it include a debit to unearned rent revenue for $1,250 and credit the rent revenue for $1,250

4 0
3 years ago
The following items appear on the balance sheet of a company with a one-year operating cycle. Identify the proper classification
postnew [5]

Answer:

  • L
  • L
  • c
  • n
  • n
  • c
  • n
  • l
  • n

I think so buh I’d advice u to make it its correct

7 0
3 years ago
A. Billed customers for fees earned, $112,700.
Sav [38]

Answer:

C.

Explanation:

7 0
2 years ago
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