Answer:
The correct answer is $30 billions.
Explanation:
The checkable deposits are given as $140 billions.
The total reserves are $51 billions.
The required reserve rate is 30%.
The required reserves will be
=30% of $140 billions
=
=$42 billions
The excess reserves will be
=total reserves-required reserves
=$51-$42
=$9 billions
Maximum expansion by lending will be
=
=
=$30 billions
So, the money supply can be expanded by a maximum amount of $30 billions.
$2,675,703.29
pv of business= pv of cash flow + PV selling business
Answer:
Severe floods affecting aggregate demand and aggregate supply can be equated with bad weather destroying crops. In this regard, the supply of goods and services will be slower or harder to keep up with depending on the demand given. The losses suffered as a result of the sever floods will result in the demand for goods and services to increase but the measured supply thereof might not be sufficient given the extreme backlog and circumstances created by the sever floods.
In this scenario, the effects on the output (goods and services) supplied will be slower in the short-run until businesses and farms are restored to stable working conditions. The demand thereof (for output) will increase and has inverse relationship with the supply of goods and services, until there is an equilibrium point reached when the supply of goods and services meet the demand required. Prices in the short term will increase until conditions have become stable. This will affect the GDP of the businesses negatively.
In the long-run, the demand for goods and services will decrease as conditions stabilise and the supply of goods and services will even out to meet the demand required. Depending on the far reaching effects of the severe floods, equilibrium and stable demand and supply may take a while to become normal again. In the long-run the price of goods and services should decrease as the demand required is met through the supply of goods and services. This will affect the GDP of the businesses positively.
Explanation:
To understand the answer given above, you have to understand the inverse relationship there is between the aggregate demand and aggregate supply.
Aggregate supply is the complete number of units (goods and services) supplied to the market (i.e. produced and sold in the market) which is also the gross domestic profit (GDP). In the short-run for this question, the GDP will decrease initially until conditions become stable.
Aggregate demand is the total domestic spending consumers have on goods and services in the economy. The GDP will increase in the long-run as the demand and supply is met and becomes steady.
Answer:
2 month standard deviation = 22.45%
Explanation:
Annual standard deviation = 55%
2 month standard deviation = Annual standard deviation / 
2 month standard deviation = 55% / 
2 month standard deviation = 55% / 2.44948974278
2 month standard deviation = 0.55 / 2.44948974278
2 month standard deviation = 0.224536559755416
2 month standard deviation = 22.45%
The answer is $12,360.22(rounded)
16,995-5,500= 11,495
11,495+7%= 12,360.2151
Hope this helps!! :)
