All categories

3 years ago

What are the primary functions of a central bank?

Business

1 answer:

Vesnalui [34]3 years ago

4 0

Answer:

The correct answer is:

Conduct monetary policy;
Ensure that the financial system is stable;
Provide banking services to commercial banks, depository institutions, and the federal government.

Explanation:

A central bank is the apex monetary authority in a country. It plays several crucial roles in the smooth working of the economy.

A central bank issues currency on behalf of the government.
It formulates monetary policy on behalf of the government.
It acts as a banker for the government.
It acts as a banker for commercial banks.
It supervises all financial institutions.

The role of providing services to businesses and consumers is played by commercial banks. Fiscal policy is formulated by the government. The responsibility of ensuring the growth of the economy also falls with the government.

You might be interested in

Icon International, a software company, incorporated on January 1, 2013 is planning to convert to IFRS. The company decided to p

bekas [8.4K]

Answer:

The correct transition date which Icon international will show is B) January 1, 2015.

Explanation:

Icon international which was incorporated on January 1, 2013, wants to convert to IFRS( International financial reporting standards ) , which provides a similar international language for business affairs, which would help making company accounts comparable and understandable across the global boundaries.

The correct transition date would be the year starting date ( 1 January ) , as the year in which company starts adopting to IFRS standards and making IFRS statements , so here the January 1, 2015 would be the correct transition date.

6 0

4 years ago

Joy is taking out a car loan which she’ll pay back with interest. Which option will require her to pay the lowest amount in inte

Mice21 [21]

Lowest amount of interest would be annual compounding.

6 0

3 years ago

If the coupon interest rate remains constant from the time of issue until the bond matures, then the bond is called afixed-rate

marta [7]

Answer:

Indenture

Deferred call provision

Explanation:

Indenture is defined as the contract that describes the terms of a borrowing arrangement between a firm that sells a bond issue and the investors who purchase the bonds.

A call provision is defined as the right that the issuer of a security has to call or redeem the security at certain times and under specific conditions.

The call provision in which the issuer is prevented from calling a portion or the entire issue for several years during the early years of the bond issue is called deferred call provision.

8 0

3 years ago

In the demonstration, 360∘ of rotation (one full rotation) represents a sidereal day. You can actually measure the length of the

Gennadij [26K]

In the demonstration, 360∘ of rotation (one full rotation) represents a sidereal day. You can actually measure the length of the sidereal day by measuring the time from when the star vega or the star sirius crosses your meridian on one day (or night) until it crosses the meridian on the next day (or night). Mastering astronomy.

3 0

4 years ago

True or false: A flexible budget reporting sales volumes at three different levels will have the same fixed costs.

lapo4ka [179]

Answer:

True

Explanation:

A flexible budget is a budget in which you modify the activity levels to reflect changes in sales to help the company adjusts to different circumstances that may occcur. Also, in this budget the fixed costs remain constant and the variable costs change with the activity levels. According to this, the answer is that the statement that says that a flexible budget reporting sales volumes at three different levels will have the same fixed costs is true.

5 0

3 years ago