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Scrat [10]
3 years ago
5

A depositor places $10,000 in cash in a commercial bank, where the required reserve ratio is 10 percent. The bank sends the $10,

000 to its Reserve. As a result, the actual reserves (R), required reserves (RR) , and excess reserves (ER) of the bank have been increased by ___________.
a. $10,000, $9,000, and $1,000, respectively.
b. $10,000, $500, and $4,500, respectively.
c. $10,000, $1,000, and $9,000, respectively.
d. $1,000, $10,000, and $9,000, respectively
Business
1 answer:
garik1379 [7]3 years ago
7 0

Answer:

C) $10,000, $1,000, and $9,000, respectively.

  • actual reserves increase by $10,000
  • required reserves increase by $1,000
  • excess reserves increase by $9,000

Explanation:

the money deposited by the client = $10,000

bank's reserve ratio is 10% = $10,000 x 10% = $1,000

since the bank kept the whole $10,000 as reserves, then:

  • actual reserves increase by $10,000
  • required reserves increase by $1,000
  • excess reserves increase by $9,000

The bank is only required to keep $1,000 in reserves, this means it can borrow the remaining $9,000 whenever they want.

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The different copies are for John and each tax return he may file

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3. How much did John make in wages in the 2014 tax year? (assuming this was John's only job)

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4. How much did John 'take home' in net pay? (assuming this was John's only job)

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5. How much did John save in his 401(k) in the 2014 tax year?
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6. Assume your employer provides health care insurance and deducts your portion of the premiums from your paycheck with pre-tax dollars. Are your health insurance premiums federally tax deductible?
Yes


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4 0
3 years ago
The list price on Boyton's catalog indicated that product A sells for $3,000, with a trade discount of 5%. Boyton sells the good
Alexeev081 [22]

Answer:

B) $2,850

Explanation:

1: Find the discount: $3,000*5% = $150

2: Subtract the discount: $3,000 - $150 = $2,850

4 0
3 years ago
In the Spotlight on Small Business box titled, "Let's Go to the Movies," we learned about a recent marketing idea for movie thea
densk [106]

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Explanation:

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7 0
3 years ago
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Is Stay-Alive Inc. staff at least attend 5 meetings in a week. Is Stay-Alive Inc. as hierarchical structure of team work. The organization benefits from proper team building. Employees need to be well trained and motivated in their jobs. In a team-building session, conflict and communication hurdles are generated.

As a result, Is Stay-Alive Inc. an effective team and improving performance.

Learn more about on team-building, here:

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7 0
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goldenfox [79]

Answer: uniqueness

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8 0
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