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musickatia [10]
3 years ago
8

If the reserve ratio is 10 percent, banks do not hold excess reserves, and people hold only deposits and no currency, when the f

ed sells $10 million dollars of bonds to the public, bank reserves increase by $1 million and the money supply eventually increases by $10 million.
Business
1 answer:
tigry1 [53]3 years ago
5 0
<span>1. Suppose Oscar withdraws $100 from his checking account and deposits it into his savings account. This
transaction causes M1 to 
A. Increase by $100 and M2 to remain the same.
B. Decrease by $100 and M2 to remain the same.
C. Decrease by $100 and M2 to increase by $100.
D. Remain the same and M2 to increase by $100</span>B<span>2. Suppose Megan withdraws $75 from her savings account and deposits it into her checking account. This
transaction causes M1 to 
A. Increase by $75 and M2 to remain the same.
B. Decrease by $75 and M2 to remain the same.
C. Increase by $75 and M2 to decrease by $75.
D. Remain the same and M2 to increase by $75.</span>A<span>3. Suppose Jared takes $200 from his savings account and holds it as cash. The immediate result of this
transaction is that M2 
A. Increases by $200 and M1 remains the same.
B. Decreases by $200 and M1 remains the same.
C. And M1 do not change.
D. Remains the same and M1 increases by $200.</span>D<span>4. A single bank with $10,000 of reserves and a reserve ratio of 25 percent could support total transactions
account balances of at most 
A. $10,000.
B. $5,000.
C. $40,000.
D. $25,000.</span>C<span>5. A single bank with $20,000 of reserves and a reserve ratio of 5 percent could support total transactions
account balances of at most 
A. $400,000.
B. $1,000.
C. $100,000.
D. $20,000.</span>A<span>6. Initially a bank has a required reserve ratio of 20 percent and no excess reserves. If $5,000 is deposited into
the bank, then initially, ceteris paribus, 
A. This bank can increase its loans by $5,000.
B. This bank can increase its loans by $4,000.
C. Total reserves will increase by $4,000.
D. Required reserves will increase by $5,000.</span>B<span>7. Initially a bank has a required reserve ratio of 10 percent and no excess reserves. If $1,000 is deposited into
the bank, then, ceteris paribus, 
A. This bank can increase its loans by $900.
B. This bank can increase its loans by $1,000.
C. Total reserves will increase by $900.
D. Required reserves will increase by $1,000.</span>A<span>8. If total reserves for a bank are $12,000, excess reserves are $2,000, and demand deposits are $100,000, the
money multiplier must be 
A. 20.
B. 15.
C. 10.
D. 5</span>C<span>9. If the banking system has demand deposits of $100,000, total reserves equal to $15,000, and a required
reserve ratio of 10 percent, the banking system can increase the volume of loans by a maximum of 
A. $5,000.
B. $50,000.
C. $85,000.
D. $100,000.</span>A<span>10. Suppose a banking system has a required reserve ratio of 0.15. How much can the money supply increase in
response to a $1 billion increase in excess reserves for the whole banking system? 
A. $1 billion.
B. $150 million.
C. $15 billion.
D. $6.67 billion.</span><span>B</span>
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A fast-food restaurant has determined that the chance a customer will order a soft drink is 0.90. The proba- bility that a custo
azamat

Answer:

(a) The probability that the order will include a soft drink and no fries is 0.45.

(b) The probability that the order will include a hamburger and fries is 0.48.

Explanation:

Let the events be denoted as follows:

S = an order of soft drink

H = an order of hamburger

F = an order of french fries.

Given:

P (S) = 0.90

P (H) = 0.60

P (F) = 0.50

(a)

It is provided that the event of ordering a soft drink and fries are independent.

If events A and B are independent then the probability of event (A ∩ B) is:

P(A\cap B)=P(A)\times P(B)

Compute the probability that the order will include a soft drink and no fries as follows:

P(S\cap \bar F)=P(S)\times P(\bar F)\\=P(S)\times[1-P(F)]\\=0.90\times (1-0.50)\\=0.45

Thus, the probability that the order will include a soft drink and no fries is 0.45.

(b)

It is provided that the conditional probability that a customer will order fries given that he/she has already ordered a hamburger as, P (F|H) = 0.80.

The conditional probability of an event B given another event A has already occurred is:

P(B|A)=\frac{P(A\cap B}{P(A)}

Compute the probability that the order will include a hamburger and fries as follows:

P(F|H)=\frac{P(H\cap F)}{P(H)}\\P(H\cap F)=P(F|H)\times P(H)\\=0.80\times 0.60\\=0.48

Thus, the probability that the order will include a hamburger and fries is 0.48.

6 0
3 years ago
A company wants to create a dynamic survey that navigates users through a different series of questions based on their previous
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Answer:

Visualforce and Apéx

Explanation:

Visualforce is defined as a programming language that is peculiar to Salesforce. It is mostly used among developers to build and personalized user interface.

The Visualforce controller is a set of instructions that specifies what occurs in a program.

Apéx on the hand, is considered to be a proprietary language built by Salesforce.com. It is mainly used to execute flow and transaction control statements on the Force.com platform server in conjunction with calls to the Force.com API.

Hence, in this case, with the help Visualforce and Apéx, a company will be able to create a dynamic survey that navigates users through a different series of questions based on their previous responses.

7 0
3 years ago
During the past 1000 years, the income per person of the world has
Mamont248 [21]

Answer: Has increased.

Explanation: Income per person has increased over the years because the cost of living and expenses have also increased. As the cost of items go up, income increases to help consumers be able to afford living and purchasing goods and services.

5 0
3 years ago
For Tax Year 2019, amounts are indexed using the Chained Consumer Price Index for All Urban Consumers ("chained CPI"). What impa
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Answer:

d. Using the chained CPI will not have a notable impact on 2019 tax returns.

Explanation:

when amounts are indexed using the chanined consumer price index, they increase slowly because there is a period to period connection in the consumer price index.

Therefore, The use of the chained consumer price index would have not have any significant impact on 2019 tax returns.

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3 years ago
Investigate any Five criteria that the project must demonstrates
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The project must demonstrate, one, the problem you are trying to solve. Two, the solution of the problem, how innovative it is and compelling. Three, what did you learn throughout the project. Four, accuracy of the conclusion of the project. And lastly, how were you able to effectively present and demonstrate the project to your audience.

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