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Gala2k [10]
3 years ago
15

Banks can protect themselves from the disruption caused by deposit outflows by A. "calling in" loans B. holding excess reserves

C. selling securities D. borrowing from other banks E. borrowing from the Fed F. doing all of the above
Business
1 answer:
Aliun [14]3 years ago
8 0

Answer:

D, doing all of the above

Explanation:

Deposit outflow is a situation in which deposits are lost as a result of continous withdrawals by depositors.

In other for banks to protect themselves from this sort of situation, the bank can choose to do all of the options in the questions which includes callin-in loans, holding excess reserves and/or selling securities. This helps the bank to maintain account balances amongst other things.

To reduce or eradicate deposit outflow is the reason for deposit insurance. Deposit Insurance corporations or companies helps banks to reduce their deficits or losses when they are at the point of not being able to pay deposits when due.

Cheers

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When using the allowance method for accounting for bad debts, accounts receivable is reported on the balance sheet at the expect
Minchanka [31]

Answer:

Have no effect on net realizable value

Explanation:

Net realizable value is the value of accounts receivable less any allowance for bad debts. This amount is reported in the balance sheet. Under allowance method, if a particular receivable is uncollectible, then the amount is reduced from both accounts receivable and allowance for bad debts. As such, there is no effect on the net realizable value as both the accounts are reduced by the amount that is uncollectible.

4 0
3 years ago
The direct income capitalization model employs …………. time horizon: ________
jekas [21]

The direct income capitalization model employs an infinite time horizon.

<h3><u>What is time horizon?</u></h3>
  • A time horizon, sometimes referred to as a planning horizon, is a set point in the future where specific activities will be assessed or taken to have concluded.
  • Assigning such a defined horizon time is important in an accounting, financial, or risk management regime so that alternatives can be assessed for performance over the same time frame.

In the real world, a time horizon is physically impossible. Even though short term horizons like end of day, end of week, and end of month matter in accounting, these horizons are typically used for simple mark to market processes and summing up.

Know more about time horizon with the help of the given link:

brainly.com/question/4985973

#SPJ4

8 0
1 year ago
The Sisyphean Company is planning on investing in a new project. This will involve the purchase of some new machinery costing $4
saul85 [17]

Answer:

21%

Explanation:

Internal rate of return is the discount rate that equates the after-tax cash flows from an investment to the amount invested

IRR can be calculated with a financial calculator  

Cash flow in year 0 = $-400,000.

Cash flow in year 1 - 4 = $157,452.975

IRR = 21%

To find the IRR using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the IRR button and then press the compute button.  

4 0
3 years ago
Paul's Landscaping purchased $500 of office supplies on credit. The company's policy is to initially record prepaid and unearned
sattari [20]

Answer:

(C) Debit Office supplies, $500; credit Accounts payable, $500

Explanation:

Businesses maintain the office supplies inventory of supplies and record the supplies purchased into this account and expense it afterward with the usage of inventory. In this question offices supplies purchased will be debited to office supplies account. As it is purchased on account so it will be credited to account payable account to make a liability against the transaction.

6 0
3 years ago
If manufacturing overhead has been underallocated during the period, then which of the following is true?(a) the jobs produced d
Alecsey [184]

Answer:

The correct answer is B: the jobs produced during the period have been under-costed

Explanation:

Giving the following information:

If manufacturing overhead has been under-allocated during the period, then which of the following is true?

(a) the jobs produced during the period have been over-costed

(b) the jobs produced during the period have been under-costed

(c) the jobs produced during the period have been costed correctly

(d) none of the above

When manufacturing overhead has been under-allocated means that the actual costs incurred where superior that the estimated cost for the period.

7 0
3 years ago
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