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Gala2k [10]
3 years ago
9

Which of the following actions would cause an increase in the level of reserves in the banking​ system?(A) A customer withdraws

funds from Reliable Bank and deposits them in National Bank.(B) The FOMC instructs the NY trading desk to sell government bonds on the open market.(C) The FOMC instructs the NY trading desk to purchase government bonds on the open market.(D) The federal government issues new bonds to finance the budget deficit.The federal government issues new bonds to finance the budget deficit.(E) The federal government pays off bonds that were originally issued to finance the budget deficit.
Business
1 answer:
Stella [2.4K]3 years ago
3 0

Answer:C

Explanation:

If the Federal Government buys bonds, it means it is increasing money supply on the market. Prices and interest rates therefore increase including the reserve ratio

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A sixminusmonthnote receivable for $ 9 comma 000at 14​%,dated October​ 1, 2020, has accrued interest revenue of​ ________ as of
blsea [12.9K]

Answer: $315

Explanation:

The following information can be gotten from the question:

Amount = $9000

Rate = 14%

The receivable was held from October to December. This means it was shelf for 3 months.

Therefore, the accrued interest revenue will be:

= $9000 × 14% × (3/12)

= $9000 × (14/100) × (1/4)

= $9000 × 0.14 × 0.25

= $315

The accrued interest is $315

7 0
3 years ago
A reversing entry is ________. Group of answer choices a journal entry used to close the temporary accounts after preparation of
quester [9]

Answer:

The correct answer is the third option: a special journal entry that eases the burden of accounting for transactions in the next period.

Explanation:

To begin with, a <em>reversing entry </em>is the name given to a special journal entry in the accounting areas that focus on the action of reversing selected entries made in the inmediately preceding period in order to correct common human mistakes. Therefore that this type of entry has the intention of easing the burden of accounting for transactions in the next period by just noticing that is being used in the journal.  

3 0
3 years ago
what term refers to selling goods in a foreign market at a price that is far below the cost of production? A. profiteering B. sc
Serhud [2]

Dumping is the ILLEGAL selling goods in a foreign market at a price that is far below the cost of production

6 0
3 years ago
A company is considering replacing an old piece of machinery, which cost $105,000 and has $55,000 of accumulated depreciation to
asambeis [7]

Answer:

Replacing the old machine would produce a net saving of $1,300

The sunk cost in this situation is the purchase cost (i.e $105,000) of the old machine.

Explanation:

<em>Differential Analysis</em>

Purchase cost of the new machine                                 (83,000)

Savings from annual variable cost(8500×8)                   68,000

Variable cost of running the new machine (5,000×8)   (40,000)

Scrap value of the old machine                                    <u>    56,300 </u>  

Differential savings                                                       <u>      1,300   </u>

Replacing the old machine would produce a net saving of $1,300

The sunk cost in this situation is the purchase cost (i.e $105,000) of the old machine. It is a past cost incurred as a result old decision.

7 0
3 years ago
Sage Company is operating at 90% of capacity and is currently purchasing a part used in its manufacturing operations for $14.00
romanna [79]

Answer:

The correct answer to the following question will be "$76,986".

Explanation:

Although the organization is reportedly going to pay $14.00 per unit, even before manufactured throughout the corporation, cost and save per unit will become the variation among current value as well as production costs without set rate. The cost of operating expenses will not be included to measure the gain because the idle resources of the company would be included and would not raise the fixed costs.

Therefore the cost differential would be as follows:

⇒ Differential \ cost = (Current \ purchasing \ price-Manufacturing \ cost \ excluding  \ fixed \ cost)\times 38,493On putting the values in the above formula, we get

⇒                        =(14-12)\times 38,493

⇒                        =2\times 38,493

⇒                        =76,986

5 0
3 years ago
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