Answer:
See below.
Explanation:
To compute the change in money supply, we first calculate the credit multiplier,
Credit multiplier is calculated as,
Multiplier = 1 / reserve ratio
When the Bank of Tazi loans 10 million to bank while their reserve requirements stay the same, this additional 10 million will be loaned out and the total change in money supply would be
= 10 million * Multiplier
For example if the reserve ratio was 4% then the multiplier = 1 /0.04 = 25
Then the total change in money supply would be 10 * 25 = 250 million.
Hope that helps.
Answer:
Cash flow generated from financing activities: 5,200,000
Explanation:
Financing activities are the cash outflow and inflow from the company's debt and equity. Take and repayment of debt, interest on debt and dividend yield will be included in this section:
Cash received from issuance of notes payable 8,000,000
Dividends paid on Gorky common stock (800,000)
Repayment of notes payable <u> (4,000,000) </u>
Cash flow generated from financing activities: 5,200,000
The machinery and planyt building are not financing activities. So we ignore them.
Answer:
Another term for a pre-inspection agreement is Standard of practice.
Explanation:
Standard of practice entails agreement signed before any business is done at all, it forms the basis of the agreement documented and signed
It is called Factors of production. It is a financial term that depicts the data sources that are utilized as a part of the creation of merchandise or administrations keeping in mind the end goal to make a monetary benefit. The variables of creation incorporate land, work, capital, and business enterprise.
Answer:
4000
Explanation:
Calculation to determine how many units of foreign currency does the same basket of goods cost in that country
Based on the information given we were told that the PRICE OF A BASKET OF GOODS is the amount of $2000 in which the dollar buys TWO UNITS of some country’s currency, now let determine HOW MANY UNITS of foreign currency does the same basket of goods cost in that country
Using this formula
Units of foreign currency=Basket of goods price*Some country’s currency units
Let plug in the formula
Units of foreign currency=$2,000* 2 units
Units of foreign currency=4,000 units
Therefore the number of units of foreign currency that the same basket of goods cost in that country is 4,000
The price of a basket of goods is $2000 in the U.S. If purchasing power parity holds, and the dollar buys two units of some country’s currency, then how many units of foreign currency does