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Yakvenalex [24]
3 years ago
13

The primary purpose of the legal reserve requirement is toa. Prevent banks from hoarding too much vault cash.b. Provide a means

by which the monetary authorities can influence the lending ability of commercial banks.c. Prevent commercial banks from earning excess profits.d. Provide a dependable source of interest income for commercial banks.
Business
1 answer:
oee [108]3 years ago
7 0

Answer: The correct answer is choice b.

Explanation: The primary purpose of the legal reserve requirement is to provide a means by which the monetary authorities can influence the lending ability of commercial banks. Basically, it is the Federal Reserve’s way of controlling the money supply.

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A company is considering investing in a new machine that requires a cash payment of $47907 today. The machine will generate annu
swat32

Answer:

12%

Explanation:

Calculation for the internal rate of return if the company buys this machine

Using this formula

IRR = Initial investment/Annual Cash flow

Where,

Initial investment =$47,907

Annual Cash flow =$19,946

Let plug in the formula

IRR= $47,907/$19,946

=2.402

Using PV factor table = 2.402

IRR = 12%

Therefore internal rate of return if the company buys this machine will be 12%

8 0
4 years ago
What is a benefit of having a good FICO score?
goblinko [34]

if you have a higher score you can get loans easy buy stuff and you will almost always qualify for the best interest rates

so the ANSWER:D

6 0
4 years ago
Read 2 more answers
Describe how changes in expected inflation impact an economy in the wake of a temporary negative supply shock
Fed [463]

Negative shocks reduce production and increase unemployment. Positive shocks increase production and reduce unemployment.

Unexpected change moving SRAS. A positive supply shock increases SRAS, whereas a negative supply shock decreases SRAS. A combination of slowing overall economic output (declining) and rising price levels (inflation). Stagnation occurs when SRAS decreases.

A negative supply shock leads to an increase in the natural rate of interest. If real interest rates are not adjusted, there will be excess demand in the labor market. t = 0 unless the real interest rate is adjusted. Then we move into an economy where the market is imperfect.

A supply shock is an unexpected event in which the supply of a product or commodity changes, causing a sudden change in price. A positive supply shock increases output and decreases prices, while a negative supply shock decreases output and increases prices.

Learn more about supply at

brainly.com/question/25843620

#SPJ4

8 0
1 year ago
Josie is an entrepreneur and just launched her first business selling a girls clothing line. Her business is a sole proprietorsh
aliina [53]

Answer: a

Explanation:

7 0
3 years ago
Wims, Inc., has current assets of $3,400, net fixed assets of $32,500, current liabilities of $2,900, and long-term debt of $6,9
ss7ja [257]

Answer:

$26,100

Explanation:

Shareholders' equity = Total asset - Total liability

Shareholders' equity = (3,400 + 32,500) - (2,900 + 6,900)

Shareholders' equity = 35,900 - 9,800

Shareholders' equity = 26,100

Hence, the value of the shareholders equity is $26,100

7 0
3 years ago
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