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Answer:
The maximum change in the money supply is 250 million
Explanation:
In this question, we are asked to calculate the maximum change in money supply given that the required reserve ratio is 20%.
Firstly, we need to calculate the multiplier in this case.
The multiplier in this case can be calculated by dividing 1 by the required reserve ratio
Mathematically, multiplier = 1/required reserve ratio = 1/0.2 = 5(kindly note that 20/100 = 0.2)
Now, we move on to calculate the maximum change in the money supply.
This would be equal to multiplier * value of open market sale = 5 * 50 million = 250 million
Therefore, the maximum change in the money supply is 250 million
I believe that would be Supply and demand.
Hope I helped
Answer:
Specific Identification
Cost of goods sold = $8,596
Closing Inventory = $1,406
Explanation:
COGS
01 Jan 57 *44 = $2,508
05 May 82*43=$3,526
03 Nov 61 * 42 = $2,562
Total =$8,596
Closing Inventory
05 May 20*43=$860
03 Nov 13*42=$546
Total = $1,406