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3 years ago

A currency drain occurs when

Business

1 answer:

gogolik [260]3 years ago

5 0

Answer:

The correct answer is: non-bank public increases its holdings of currency outside the banking system.

Explanation:

A currency drain refers to the situation where there is an increase in currency held outside the banking system. When the public holds more money outside the banking system, it reduces the total reserves of the banks. The excess reserves get reduced as well.

The currency gets drained from the banking system, so banks can create less money. This causes a reduction in the money supply.

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Revenues that are legally restricted for expenditure on specified operating purposes should be accounted for in special revenue

love history [14]

Answer:

Revenues that are legally restricted for expenditure on specified operating purposes should be accounted for in special revenue funds including

Pension trust fund revenues
Endowment where the investment earnings are to be used for public purposes.
Accumulation of resources for payment of general long-term debt principal and interest.

Explanation:

There are two main reasons for restricting funds legally. It is either for use to accomplish a specific program or to be appropriated at a time in the future.

Pensions are designated to be paid out to the recipients in the future. To achieve these, a certain percentage of their earnings is legally restricted and accounted for in Pension Trust Fund revenues.

Endowment funds is predominant in NGOs where the investment earnings are to be used for public purposes.

Relevant financial institutions can work mutually with a company to accumulate resources for payment of general long-term debt principal and interest.

7 0

3 years ago

Khalifa’s friend, Khalid, has told him that managing the finances of the business is very important.

Y_Kistochka [10]

Answer:

Fixed costs are usually negotiated for a specified time period and do not change with production levels. ... Examples of fixed costs include rental lease payments, salaries, insurance, property taxes, interest expenses, depreciation, and potentially some utilities.
Variable costs are dependent on production output. ... Examples of variable costs are sales commissions, direct labor costs, cost of raw materials used in production, and utility costs. The total variable cost is simply the quantity of output multiplied by the variable cost per unit of output.
Fees earned from providing services and the amounts of merchandise sold. Examples of revenue accounts include: Sales, Service Revenues, Fees Earned, Interest Revenue, Interest Income. ... Revenue accounts are credited when services are performed/billed and therefore will usually have credit balances.
Revenue is the total amount of income generated by the sale of goods or services related to the company's primary operations. ... Profit is the amount of income that remains after accounting for all expenses, debts, additional income streams, and operating costs.

Explanation:

5 0

2 years ago

The monetary base is equal to

ss7ja [257]

Answer:

The correct answer is option A.

Explanation:

The monetary base can be defined as the amount of money that is in circulation in the hands of the public or held as reserves by banks.

The monetary base in an economy is equal to all currency in circulation plus reserves held by banks.

In other words, it includes highly liquid funds such as coins, notes, and bank deposits.

The money supply is a broader concept than the monetary base and includes the monetary base and other assets as well.

6 0

2 years ago

Three taxpayers have claimed the EIC for the same child and all three were eligible to claim the child. One is the child's mothe

neonofarm [45]

The Parent taxpayer is entitled to the earned income credit

<u>Explanation:</u>

The federal income tax credit or income credit in the United States is a refundable tax credit, particularly those with children, for low- to moderate-income working individuals and couples. The EITC benefit amount depends on the income of the recipient and the number of children.

The EITC benefits low to reasonable-income parents but offers very little assistance to workers without eligible children (often referred to as childless workers). Income tax credit (EITC). Workers earn a loan up to a limit of one percent of their income.

8 0

3 years ago

Explain the use of NBT

Natalija [7]

The National Benchmark Tests (NBTs) are assessments for first-year applicants into higher education institutions. The NBTs were designed to measure a writer's ability to transfer understanding of Academic Literacy, Quantitative Literacy and Mathematics to the demands of tertiary coursework

3 0

2 years ago

Read 2 more answers