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artcher [175]
3 years ago
10

Sara withdraws​ $1,000 from her savings account at the Lucky​ S&L, keeps​ $50 in​ cash, and deposits the balance in her chec

king account at the Bank of Illinois. What is the immediate change in M1 and​ M2? The immediate change is​ ______ in M1 of​ $1,000 and​ ______ in M2.
Business
1 answer:
Mashutka [201]3 years ago
8 0

Answer:

The immediate change is​ an increase in M1 of​ $1,000 and​ no change in M2.

Explanation:

The M1 definition of money includes cash, coin, checkable deposits, and traveler checks. The M2 definition of money includes all the components of M1 and savings account, money market funds, certificate of deposits, and other time deposits.

A withdrawal of $1,000 from savings account will increase M1 by $1,000, as the $50 cash and the rest of $950 in her checking account is added to M1. However, the M2 will remain the same, as the $1,000 in the savings account which is included in M2 goes to cash and checking deposit which is also in M2.

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Eric wants to attend a public four-year university. He estimates that the average cost of one year at this university is $19,500
pishuonlain [190]
In this problem he need 19.500 but only earns 325 a month. From this we take what is needed (19500) and divide it by what is earned (325). This will give you 60. So therefore it will take him 60 months to earn enough for one year at university.
5 0
3 years ago
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Direct materials inventories are kept in pounds for Cat Company, and the total pounds needed for production in the current perio
pychu [463]

Answer:

Purchase= 14,500 pounds

Explanation:

Giving the following information:

the total pounds needed for production in the current period is 14,000. Beginning inventory= 2,000 pounds

Desired ending inventory= 2,500 pounds

To calculate the direct material purchase, we need to use the following formula:

Purchase= direct material for the period + desired ending inventory - beginning inventory

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3 years ago
The Z−90 project being considered by Steppingstone Incorporated (SI) has an up-front cost of $250,000. The project's subsequent
LekaFEV [45]

Answer:

The right solution is Option a (-$6,678).

Explanation:

Given that:

Up-front cost,

= $250,000

Expected cash flows,

= $110,000

Assuming cost of capital,

= 12%

Now,

The expected net present value will be:

= 250000+0.5\times (110000+25000)\times \frac{1}{12 \ percent}\times (1-\frac{1}{1.12^5} )

= 250000+0.5\times (135000)\times \frac{1}{12 \ percent}\times (1-\frac{1}{1.12^5} )

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5 0
3 years ago
Name one way that a debit card and a credit card are different.
kirza4 [7]

Answer:

Explanation:

Debit cards typically pull funds from a checking account, while credit cards charge purchases using a line of credit. With a debit card, you're spending money from your own funds. Use a credit card and you're borrowing the money and eventually will have to pay it back to the card issuer, perhaps including interest.

6 0
3 years ago
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Unscheduled absenteeism has climbed to its highest levels in XYZ Company last month. Inorder to reduce the costs associated with
____ [38]

Answer:

A) integrated paid time off

Explanation:

Integrated paid time off (PTO) is a policy employed by many organizations where all paid time off benefits are combined into one, equaling a total of the paid days off for holidays, vacation, sick leave, and personal days the employee would have received in a separate paid time off system.

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4 years ago
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