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12345 [234]
3 years ago
5

Suppose that Second Republic Bank currently has $100,000 in demand deposits and $70,000 in outstanding loans. The Federal Reserv

e has set the reserve requirement at 20%. Please calculate Second Republic Bank's:_________.(a) reserves(b) required reserves(c) excess reserves
Business
1 answer:
Dafna11 [192]3 years ago
4 0

Answer:

$30,000

$20,000

$10,000

Explanation:

Reserves is the total amount of a bank's deposit that is not given out as loans

Reserves = Deposits - outstanding loans

$100,000 - $70,000 = $30,000

Required reserves is the percentage of deposits required of banks to keep as reserves by the central bank

Required reserves = reserve requirement x deposits

0.2 x $100,000 = $20,000

Excess reserves is the difference between reserves and required reserves

$30,000 - $20,000 = $10,000

You might be interested in
Tax planning Question 6 options: guides investment activities to maximize after-tax returns over the long term for an acceptable
krok68 [10]

Answer:

guides investment activities to maximize after-tax returns over the long term for an acceptable level of risk

Explanation:

Given that the purpose of Tax planning is to ensure that there is tax efficiency for the firm, in an after-tax evaluation, the goal of the firm in terms of returns or profits is toll achieved.

Hence, in this case, the correct answer to the question is that TAX PLANNING "guides investment activities to maximize after-tax returns over the long term for an acceptable level of risk."

8 0
3 years ago
Ruby Red manufactures, markets, and distributes citrus flavored soft drinks across the globe. Ruby Red hired a collection agency
kifflom [539]

Answer:

$31,400

Explanation:

Ruby estimates that only 2% of its 2019 credit sales will be written off

Ruby Red has a $12,800 credit balance in its allowance for doubtful accounts

Ruby Red has credit sales of $1,570,000.

Bad debt expense = Credit sales *  2% of its 2019 credit sales

Bad debt expense = $1,570,000 * 2/100

Bad debt expense = $1,570,000 * 0.02

Bad debt expense = $31,400

6 0
3 years ago
A monopoly has produced a product with a patent for the last few years. The patent is going to expire. What will likely happen t
denis23 [38]

Answer:

Demand for the patent-holder's product will decrease when the patent runs out.

Explanation:

While there is a patent over a product, only the patent-holder's can sell that product. If there is a monopoly it means that that company is the only one that produce and sell this product.

When the patent run out new competitors will enter the business, so the demand on patents holders will decrease.

6 0
3 years ago
All of the following issues can be addressed by a faculty member at your high school except
Orlov [11]

The issues are as follows:

1) nutrition.

2) financial aid.

3) hearing and vision tests.

4) legal help.

The issue that cannot be addressed by the faculty members at the high school is the legal help.

Fourth option is the correct answer.

<h3>What is meant by a high school?</h3>

A high school is the place where the students are studying in the grades from 9th to 12th.

The faculty members of the high school are addressing the issues relating to financial assistance, testing of hearing and eye vision and the nutritional requirements.

Therefore, the legal help being the issue which could not be addressed by faculty members in the high school.

Learn more about the faculty members in the related link:

brainly.com/question/11920261

#SPJ1

7 0
2 years ago
You would like to use the fixed-order-interval inventory model to compute the desired order quantity for a company. You know tha
7nadin3 [17]

Answer:

c. 50

Explanation:

Fixed-order-interval inventory model also known as fixed reorder cycle inventory model is used to manage supply of raw material to a business based on demand of the product. Review of inventory is done by inventory analyst at fixed intervals and of inventory level is above a predetermined reorder level, nothing is done.

If however stock is at or below set reorder level raw material is purchased and is based on the formula- Maximum level - Current level.

In the scenario above we use the following formula

Standard deviation of demand over the review and lead-time period(SD)=Square root of { (Lead time+ Number of days between review)* (Standard deviation of daily demand)^2}

SD= √ {(10+15)*(10)^2}

SD= √ (25* 100)

SD= √2,500

SD= 50

8 0
3 years ago
Read 2 more answers
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