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cestrela7 [59]
3 years ago
14

After saving money in his piggy bank for three years, Omar decided to deposit $2,500 of the money in the local bank. If the bank

were fully loaned out and the reserve requirement was 20 percent, then the change in the dollar value of the total money supply would be __________.
Business
1 answer:
NeTakaya3 years ago
5 0

Answer:

The money supply will increase by 12,500 dollars

Explanation:

when the money is deposited the loan will make the required reveneus and start loans for the remained over and over

The multiplier effect will be 1/required reserve ratio: 1/0.2 = 5

we multiply 2,500 dollars times the money multiplier of 5

total icnrease inthe money supply: 2,500 x 5 = 12,500

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The changes in account balances of the Vel Corporation during Year 6 are presented below: Increase Assets $356,000 Liabilities 1
zzz [600]

Answer:

b. $ 36,000

Explanation:

The fundamental accounting equation is

Assets = Liabilities + Stockholders Equity

Per the data provided in the question regarding changes in account balances

$ 356,000 = $108,000 + (240,000+24,000)

$ 356,000 = $ 372,000

= - ($ 14,000)

Since the data provides that a dividend payment of $ 52,000 has been made, we have to add it to our differential balance to get the income for the year.

$ - 14,000 + $ 52,000  = $ 36,000

6 0
3 years ago
The goal of marketing is to both ________ the needs of prospective customers.
34kurt

-establish and assure

 -persuade and deliver

-improve and perfect

-discover and satisfy

-create and amplify

Answer:

discover and satisfy

Explanation:

Marketing is a process to attract customers by providing an offering that satisfies their needs and adds value to them in order to maintain long lasting relationships. According to this, the goal of marketing is to find what are the customers needs to be able to provide an offering that will add value to them and like that create a relationship.

Because of that, the answer is that the goal of marketing is to both discover and satisfy  the needs of prospective customers.

8 0
4 years ago
A company pays $35,000 per period to rent a small building that has 12,000 square feet of space. This cost is allocated to the c
Alexus [3.1K]

Answer: $7,000

Explanation:

As the question says, a total of $35,000 is paid for 12,000 square feet of space and that the rent is apportioned on the basis of space.

Department One occupies 2,400 square feet of that space.

Calculating the proportion it occupies is,

= 2,400/12,000

= 20%

Since it occupied 20% of the total space then it should be charged 20% of the rent bill.

= 20% * 35,000

= $7,000

Department One should be charged rent expense for the period of $7,000.

6 0
3 years ago
The capital allocation line can be described as the:.
juin [17]

Answer:

What Is the Capital Allocation Line (CAL)? The capital allocation line (CAL), also known as the capital market link (CML), is a line created on a graph of all possible combinations of risk-free and risky assets. The graph displays the return investors might possibly earn by assuming a certain level of risk with their investment.

Explanation:

3 0
3 years ago
How do patents encourage technological progress
Setler79 [48]
Patents are used to balance the right of the individual with the concept of the public good. In general, the purpose of a patent is two-fold: to allow the inventor of some new thing to retain exclusive rights as to its use for a limited period of time, and after that time to ensure that the details of the invention are available for public use. 
By granting the patent-holder exclusive rights to their invention, use and duplication of the invention is at the sole discretion of the inventor, potentially allowing them to profit from it. However, after a period of time those exclusive rights cease to apply, and the new invention becomes available to the public. This contributes to the public good by increasing the amount of general knowledge available.
7 0
3 years ago
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