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3 years ago

Open market operations:___________.

Business

1 answer:

Anna11 [10]3 years ago

5 0

Answer:

The answer is D.

Explanation:

Open market operation is one of the moneytary tools used by The Fed in the United States and the Central banks in other countries to control the money supply in the economy.

In the tools, The Fed increase the money supply by buying bonds/securities from the country's commercial banks This act will inject money into the economy. And to reduce the money supply, The Fed sells bonds/securities to the commercial banks.

The other moneytary tools are reserve requirement and discount rates(Interest rate).

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If the monthly income of the IBM employees follows a SYMMETRICAL NORMAL distribution, with a median of $5000 and a standard devi

AURORKA [14]

Answer: mean monthly income = $5000

====================================================

Explanation

In any normal distribution, the median and mean are the same value.

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The proof is as follows:

If mean > median was the case, then the distribution would be skewed to the right (ie positively skewed). The right tail is pulled longer than the left tail. But this would contradict the symmetrical nature of the normal distribution. So mean > median must not be the case.

If mean < median, then the distribution would be skewed to the left (negatively skewed). Visually this pulls the left tail longer than the right tail. Like in the previous paragraph, this contradicts the symmetrical nature of the normal distribution. So mean < median must not be the case.

Since mean > median cannot be true, and neither can mean < median, this must indicate mean = median.

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So in short, any symmetrical distribution always has mean = median and they are at the very center of the distribution.

4 0

2 years ago

In preparing a statement of cash flows using the indirectmethod, the Depreciation Expense ________

motikmotik

Answer:B -

Explanation:Depreciation is added back as an adjustment to the net income in the operating activities section.

8 0

3 years ago

Read 2 more answers

Contingent Liabilities must have the following criteria (select all that apply): Select one or more: A. The obligation is certai

Leya [2.2K]

Answer: Option B and C

Explanation: In simple words , contingent liabilities refers to the liabilities the occurrence of which depends on the happening of an event that may or may not occur in the future.

These are recorded in the accounts only when the payment is to be made in future and that payment could be reasonably estimated.

Hence the correct option is B and C

3 0

3 years ago

The Most recent financial statements for Moose Tours, Inc., appear below. Sales for 2016 are projected to grow by 20 percent. In

Aneli [31]

Answer:

$5,006.07

Explanation:

The external financing needed = Projected Increase in Assets - Increase in Liabilities - Increase in Retained Earnings

Projected Increase in Asset = Assets Value*Sales Growth Rate

Projected Increase in Assets = $364,720 * 20%

Projected Increase in Assets = $72,944

Increase in Liabilities = Liabilities * Sales Growth Rate

Increase in Liabilities = $69,600 * 20%

Increase in Liabilities = $13,920

<em>To calculate the Increase in Retained Earning, the below calculations are needed:</em>

a. Profit Margin Rate = Net Income / Sales * 100

Profit Margin Rate = 75,000 / 751,000 * 100

Profit Margin Rate = 9.99%

b. Dividend Payout Ratio = Dividend / Net Income * 100

Dividend Payout Ratio = 30,000 / 75,000 * 100

Dividend Payout Ratio = 0.4

Dividend Payout Ratio = 40%

Retention Rate = 1 - Dividend Payout Ratio

Retention Rate = 1 - 0.40

Retention Rate = 0.60

Retention Rate = 60%

c. Expected Sales = $751,000 * 1.20 = $901,200

So, the Increase in Retained Earning = Expected Sales * Profit Margin * Retention Rate = $901,200 *9.99% * 60% = $54,017.93

Therefore, External Fund Needed = $72,944 - $13,920 - $54,017.93 = $5,006.07

3 0

2 years ago

(Scenario 4-2: Production of Wheat and Toys) Given the information provided, one can determine that Country A has an absolute ad

Arte-miy333 [17]

Answer:

wheat, wheat

Explanation:

In the field of economics, absolute advantage may be defined as the ability of a producer to produce a particular goods or services at large amount or quantity at the same price or the same quantity at a very low price as compared to other producers. It means producing goods efficiently.

Whereas a comparative advantage of a product is defined as the ability of a producer to produce more goods and and consumes less of it at a lower opportunity cost when compared to its competitors.

Thus in the context, Country A has both an absolute advantage as well as comparative advantage in production of wheat.

4 0

3 years ago