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2 years ago

Why is it important for the balance of payments to balance?

Business

1 answer:

Rudiy272 years ago

5 0

Answer:

A country's balance of payments tells you whether it saves enough to pay for its imports. ... A balance of payments deficit means the country imports more goods, services and capital than it exports. It must borrow from other countries to pay for its imports. In the short-term, that fuels the country's economic growth.

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The federal funds rate A. equals the discount rate. B. only matters to banks and has very little impact on individual consumers.

bixtya [17]

Answer:

D. is the rate that banks charge each other for short-term loans of excess reserves.

Explanation:

The federal reserves require banks to maintain a certain amount in their vaults to cater for possible withdraws. At the close of business every day, banks have to confirm they have the required amount. Should a bank fail to meet the requirement, it can borrow from other banks that have a surplus. The interest rate that banks charge each other for these transactions is the fed fund rate.

The Fed set the fund rate. It may increase or decrease it depending on the prevailing market condition. The banks use the fund rate set to determine the interest rates to be charged on loans and mortgages. A high fund rate means high-interest rates.

8 0

3 years ago

Which product is an example of a consumer good?

Amanda [17]

The correct alternative is the letter D. Gallon of milk to use in a bowl of cereal, this being the product that is an example of a consumer good.

<h3 /><h3>What is a consumer good?</h3>

Corresponds to a product used by the final consumer, that is, individuals or families for the immediate satisfaction of a need, such as food, personal hygiene and cleaning products.

Therefore, an individual's income will always have a part destined for consumer goods, which are essential for their health and quality of life.

Find out more about consumer good here:

brainly.com/question/19342635

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8 0

1 year ago

What is the importance of linear model communication

bija089 [108]

Answer:

The linear communication model explains the process of one-way communication, whereby a sender transmits a message and a receiver absorbs it. It's a straightforward communication model that's used across businesses to assist with customer communication-driven activities such as marketing, sales and PR.

Explanation:

4 0

2 years ago

A perpetual bond with a par value of $1,000 and a coupon rate of 7.75% has a current market price of $900. What is its yield to

photoshop1234 [79]

Answer: e. 8.61%

Explanation:

This is a perpetual bond so the price is calculable by;

Price = Coupon / Yield to Maturity

Coupon = 7.75% * 1,000

= $77.50

900 = 77.50/ YTM

900 * YTM = 77.50

YTM = 77.50/900

= 8.61%

6 0

3 years ago

Dacosta Corporation had only one job in process on May 1. The job had been charged with $2,550 of direct materials, $6,990 of di

sesenic [268]

Answer:

The balance in the raw materials inventory account on May 30 was $ 7,950.

Explanation:

This question requires us to calculate the balance in the raw materials inventory account on May 30. The detail about inventory purchase during the period, inventory consumed in production and opening inventory balance is given in the problem. We can easily calculate closing balance using following equation.

opening inventory + purchase = closing balance + inventory cosumed

9,250 + 38,750 = closing balance + 40,050

closing balance = $ 7,950

7 0

3 years ago