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3 years ago

Suppose a bank gets a new deposit of $100 cash and it has a 20% required reserve ratio. If

Business

1 answer:

JulijaS [17]3 years ago

4 0

Answer:

C) $500

Explanation:

First we must determine the money multiplier = 1 / reserve ratio:

money multiplier = 1 / 20% = 5

The bank's checkable deposits originally increase by $100, and since it will be able to lend all the money it can, $80, its checkable deposits will also increase by $80 x 5 (money multiplier) = $400.

So the total increase in the bank's checkable deposits = $100 (original deposit) + $400 (money created through loans) = $500

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A laborer wears a special back brace when loading trucks, a freight inspector wears goggles when conducting tests, and a distrib

Alborosie

A laborer wears a special back brace when loading trucks, a freight inspector wears goggles when conducting tests, and a distribution manager wears earplugs while overseeing shipments. In which workplace do these Transportation and Logistics employees most likely work? Warehouses. Based on that equipment needed while working it seems as if warehouses is the most logical place they are working.

Yukio is a Brownfield Redevelopment Specialist. Which best describes his job? Organizes the cleaning and redevelopment of areas contaminated by pollution or waste. When you redevelop land, you are removing things that make the land not usable to be able to reuse the land again. By doing this, you can make sure the land is able to be reused before spending more time trying to develop the land again or purchasing new land.

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3 years ago

Patricia, a professional gambler, had the following income and expenses in her business: Gambling winnings$275,000Expenses Fees

Yuliya22 [10]

Answer:

C. $258,000.

Explanation:

The computation of the net income reported is shown below:

= Gambling winnings - Travel costs - Office expenses - Supplies - Business long-distance phone charges

= $275,000 - $8,000 - $5,000 - $3,000 - $1,000

= $258,000

For computing this we ignored the illegal cost related to the illegal parking and the illegal information

5 0

3 years ago

The Assembly Department of One Roof, Inc., manufacturer of computers, incurred $300,000 in direct material costs and $70,000 in

Papessa [141]

Answer:

D) $116.67 per EUP

Explanation:

To find out the equivalent unit of production (EUP) for conversion costs we have to divide the total conversion costs by the equivalent units produced:

EUP conversion costs = $70,000 / 600 units = $116.67 per EUP

The EUP for direct materials would = total costs direct materials / equivalent units produced = $300,000 / 1,000 units = $300 per EUP

Both fully completed units and partially completed units are expressed in terms of equivalent units of production.

6 0

3 years ago

Tin-Tin Waste Management, Inc., is growing rapidly. Dividends are expected to grow at rates of 30 percent, 35 percent, 25 percen

scoundrel [369]

Answer:

The dividend for the current year (D0) is $2.15.

Explanation:

This can be calculated as follows:

Current dividend = D0

Next dividend = (1 + relevant growth rate) * Current dividend ........... (1)

Based on equation (1), we have:

D1 = (1 + 0.30) * D0 = 1.30D0

D2 = (1 + 0.35) * D1 = 1.35 * 1.30D0 = (1.35 * 1.30)D0 = 1.755D0

D3 = (1 + 0.25) * D2 = 1.25 * 1.755D0 = (1.25 * 1.755)D0 = 2.19375D0

D4 = (1 + 0.18) * D3 = 1.18 * 2.19375D0 = (1.18 * 2.19375)D0 = 2.588625D0

D5 = (1 + 0.07) * D4 = 1.07 * 2.588625D0 = (1.07 * 2.588625)D0 = 2.76982875D0

Using Gordon Growth stable formula, we have price in year 4 (P4) as follows:

P4 = D5/(required rate of return - Perpetual dividend growth rate) ........ (2)

Substituting all the relevant values to equation (2), we have:

P4 = 2.76982875D0/(0.16 - 0.07)

P4 =2.76982875D0/0.09

P4 = 30.775875D0

Since the market price is the sum of all the present values of dividends from year 1 to 4 and P4, we have:

$47.85 = (D1 / (1 + required rate of return)^1) + (D2 / (1 + required rate of return)^2) + (D3 / (1 + required rate of return)^3) + (D4 / (1 + required rate of return)^4) + (P4 / (1 + required rate of return)^4) ...........(3)

Substituting all the relevant values to equation (3), we have:

$47.85 = (1.30D0 / 1.16^1) + (1.755D0 / 1.16^2) + (2.19375D0 / 1.16^3) + (2.588625D0 / 1.16^4) + (30.775875D0 / 1.16^4)

$47.85 = [(1.3 / 1.16^1) + (1.755 / 1.16^2) + (2.19375 / 1.16^3) + (2.588625 / 1.16^4) + (30.775875 / 1.16^4)]D0

$47.85 = 22.2572996535323D0

D0 = $47.85 / 22.2572996535323

D0 = $2.15

Therefore, the dividend for the current year (D0) is $2.15.

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3 years ago

You have just taken out an installment loan for $100,000. Assume that the loan will be repaid in 12 equal monthly installments o

Natalka [10]

Answer:

The answer is: $7,757.22 of the third month's payment will go toward the repayment of principal

Explanation:

Using the information given;

loan principal $100,000
12 monthly payments of $9,456

We must first determine the APR, using an excel spreadsheet function:

=RATE(nper,pmt,pv) = RATE(12,-9456,100000) = 2% per month

Then we make an amortization table.

M Beginning bce. scheduled pmt principal interest ending bce

1 $100,000 $9,456 $7,456 $2,000 $92,544

2 $92,544 $9,456 $7,605.12 $1,850.88 $84,938.88

3 $84,938.88 $9,456 $7,757.22 $1,698.78 $77,181.66

4 0

3 years ago