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Lelechka [254]
3 years ago
12

When a bank repays a discount loan to the Fed, there is a(n) ________ in reserves in the banking system and a(n) ________ in the

monetary base.
A. increase; decrease
B. decrease; decrease
C. increase; increase
D. decrease; increase
Business
1 answer:
Finger [1]3 years ago
3 0

Answer:

B) decrease; decrease

Explanation:

When a private bank repays a loan to the FED, the amount of reserves held by the banking system will decrease. The monetary base will also decrease since the banks have the ability to create money, and all the money held by the FED is not included in the monetary base.

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d1i1m1o1n [39]

Answer:

D

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  

Flying Car

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Cash flow in year 1 = 50,000

Cash flow in year 2 = 50,000

Cash flow in year 3 =80,000

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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.  

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anastassius [24]
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Which of the following government
tankabanditka [31]
C. bonds

Hope this helps
5 0
2 years ago
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