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vivado [14]
3 years ago
10

Suppose a commercial banking system has $240,000 of outstanding checkable deposits and actual reserves of $85,000. If the reserv

e ratio is 25 percent, the banking system can expand the supply of money by a maximum of
Business
1 answer:
AleksAgata [21]3 years ago
6 0

Answer:

$60,000

Explanation:

The computation of Money supply expand is shown below:-

Excess reserves = Actual - required

=$85,000 - (0.25 × $240,000)

=$85,000 - $60,000

= $15,000

Money supply expand = Excess reserves ÷ Reserve ratio percentage

= $15,000 ÷ 25%

= $60,000

Therefore for computing the money supply expand we simply deduct the reserve ratio percentage from excess reserves.

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Under a _____ exchange rate regime, a country will attach the value of its currency to that of a major currency.
bija089 [108]
The answer should be pegged
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3 years ago
Heavy​ Products, Inc. developed standard costs for direct material and direct labor. In​ 2017, AII estimated the following stand
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Answer:

Direct labor efficiency variance= 0

Explanation:

Giving the following information:

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3 years ago
According to the scor model, supply chain management covers five broad areas including __________, which include the activities
Gnoma [55]

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8 0
3 years ago
Over the years, O'Brien Corporation's stockholders have provided $20,000,000 of capital, when they purchased new issues of stock
shepuryov [24]

Answer:

$13,000,000

Explanation:

Given that,

Total Book Value of Equity = $20,000,000

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3 0
3 years ago
Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 7 years because the
grigory [225]

Answer:

$47.81

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Value after year 8 = (D8*Growth rate) / (Required return-Growth rate)

Value after year 8 = ($9.57*1.06) / (0.14-0.06)

Value after year 8 = $10.1442 / 0.08

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Current share price= $47.81

8 0
3 years ago
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