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almond37 [142]
3 years ago
9

If a bank sells​ $10 million of bonds to the Fed to pay back​ $10 million on the loan it​ owes, what will be the effect on the l

evel of checkable​ deposits? Assume that the required reserve ratio on checkable deposits is​ 10%, banks do not hold any excess​ reserves, and the​ public's holdings of currency do not change.
Business
1 answer:
Anettt [7]3 years ago
8 0

Answer:

There will be no effect on the level of checkable deposits.

Explanation:

Since the bank sold the $10 million of bonds to pay back a debt, that means that the bank's checkable deposits will not change. The bank's reserves will remain unchanged since the checkable deposits remain unchanged.

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The following information is taken from the records of Erie Corp.(in thousands) for the year ended on December 31: 2019 2018 Sal
den301095 [7]

Answer:

<u>Favourable Changes:</u>

Sales

Gross Profit

Operating Income

Interest Expense

Net Income

<u>Unfavourable Changes:</u>

Cost Of Sales  

Selling Expenses  

General Expenses

Other Revenue

Income Taxes

Explanation:

Observe Movement from 2018 results to 2019 results

                                        Erie Corp

                   Vertical Analysis of Income Statement

                                                                2019                    2018

Sales                                                        1,397                    1,122

Less Cost Of Sales                                   935                      814

Gross Profit                                               462                      308

<u>Less Operating Expenses</u>

Selling Expenses                                      154                       121

General Expenses                                     88                        77

Operating Income                                   220                       110

<u>Less Non- Operating Expenses</u>

Other Revenue                                            4                          7

Interest Expense                                         2                          9

Income Taxes                                           134                        66

Net Income                                                88                        42

8 0
3 years ago
What is the difference between ordinal utility and cardinal​ utility? Ordinal utility refers to A. satisfaction when consumers a
adoni [48]

Answer:

I strongly believe that the correct answer is B. Im going to give an example. if we take into account a company like Honda produces 4000 units, for example Mercedes Benz produces 7000 units, this is very important for welfare economics which tries to put values on consumption.

Explanation:

5 0
3 years ago
Melanie is working in a laboratory and spills a bottle of reagent which sources would most likely tell her how to clean the spil
I am Lyosha [343]
<span>The lab teacher would be one resource that could be asked, since they are likely experienced in the use and disposal of the reagent. Also, in other instances, the Material Safety Data Sheets could be accessed, since they will have all the steps required for handling, disposal, and cleaning of the reagent, and any hazards that need to be accounted for in the cleaning-up process.</span>
7 0
3 years ago
Interest is: A- charge for lending money to a bank B-the amount owed for borrowing money C-the amount added into your savings wh
KIM [24]
B.when you take a loan out for something the faster you pay it off the less interest you have to pay
8 0
3 years ago
3. What fallacy is illustrated by the following statement? "This work is driving me crazy!"
disa [49]
<h3>Statement by Fallacy</h3>

"This work is driving me crazy!"

The above sentence is said by Fallacy a worker of a cafe in a busy shopping mall, She tries her best to serve the customers but the customers are quite rude and that is the reason why she said such a dialogue.

<h3>Customer Behaviour</h3>

Fallacy wants the customers to act kindly and be a little patient, but that is completely the opposite of what is reality.

She is unable to leave the job as it is a well paid job and she is not able to find another job that can pay her this much salary.

Learn more about Business at brainly.com/question/26675384

3 0
2 years ago
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