Answer:
The increase in reserve will ultimately lead to an increase in the money supplied.
Explanation:
From the scenario under study, the bank is greeted with uncertain economic realities. To cope with this, the bank resolves that rather than lend out excess reserves, it should rather increase the percentage of deposits held as reserve from 10% to 25%. Thus, this leads to a multiplier effect. And the reserve ratio from the forgoing is 1 to 4. That is, 1/10 to 1/4. Meaning there's a reduction in multiplier effecf of 10 to 4. And looking critically, this is a reciprocal of the new reserve ratio of 1/4
When bank hold more reserve, the ripple effect is that the Fed would buy more bonds. To increase the money supply by $200, however, the Fed will need to get a bond of $50.
The implication of this is that the bank reserve will rise in same amount. But taking the multiplier effect into cognizance, a small multiplier will be occasioned in form:
$50 * 4= $200.
Effectively, we have increased the money supply by $200, owing to the multiplier effect.
The difference between the realized overheads and the estimated overheads is the total overhead cost.
<h3>What are total overhead costs?</h3>
Total overhead costs are identified as the costs related to administration, sales, marketing, and production. Before the total overhead costs are realized, a budget regarding estimated costs is prepared.
The calculation of the total overhead costs is actual overhead costs less the budgeted overhead costs.
Hence, the aforementioned statement regarding total overhead costs holds true.
Learn more about total overhead costs here:
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B. False
Institutional advertising does not attempt to sell anything directly. It is type of advertising intended to promote company, business, institution or other similar entity.
Answer: 1.337
Explanation:
From the question ,we are informed that someone has a portfolio that is invested 18 percent in Stock A, 42 percent in Stock B, and 40 percent in Stock C while the betas of the stocks are .77, 1.32, and 1.61, respectively.
The beta of the portfolio will be calculated by multiplying the respective beta by their respective weight and then adding the total values gotten together. This will be:
= (18% × 0.77) + (42% ×1.32) + (40% × 1.61)
= (0.18 × 0.77) + (0.42 ×1.32) + (0.4 × 1.61)
= 0.1386 + 0.5544 + 0.644
= 1.337
The answer to this question is "Business Ethics".
