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Monica [59]
3 years ago
12

The discount rate is a. the rate at which the Fed lends to banks. b. the rate at which public banks lend to other public banks.

c. the percentage difference between the face value of a Treasury bond and what the Fed pays for it. d. the percentage of deposits banks hold as excess reserves.
Business
1 answer:
kotegsom [21]3 years ago
4 0

Answer:

a. the rate at which the Fed lends to banks

Explanation:

The discount rate is the interest rate that are applied for measuring the present value of future cash flows

It is the rate where the federal reserve would lends to the financial insituation or bank

So as per the given options, the option a is correct

And, the other options should be considerd as wrong or incorrect

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What are the primary functions of a central bank?
Vesnalui [34]

Answer:

The correct answer is:

  • Conduct monetary policy;
  • Ensure that the financial system is stable;
  • Provide banking services to commercial banks, depository institutions, and the federal government.

Explanation:

A central bank is the apex monetary authority in a country. It plays several crucial roles in the smooth working of the economy.

  1. A central bank issues currency on behalf of the government.
  2. It formulates monetary policy on behalf of the government.
  3. It acts as a banker for the government.
  4. It acts as a banker for commercial banks.
  5. It supervises all financial institutions.

The role of providing services to businesses and consumers is played by commercial banks. Fiscal policy is formulated by the government. The responsibility of ensuring the growth of the economy also falls with the government.

4 0
3 years ago
Imagine that the Brazilian aircraft manufacturer Embraer purchases a 10 percent share of a Canadian aircraft distribution compan
otez555 [7]

Answer: Forward Integration

Explanation:

Forward integration is a process where a company takes over the control of another company that is further along in the value chain so that it might be able to sell or distribute is goods more effectively. For example, an oil company taking over a petroleum products company.

In this scenario, the Brazilian company purchased a huge part of a company further along in distribution in order to facilitate better sales so this is forward integration.

6 0
3 years ago
Determine the maturity date and compute interest for each note. (Use 360 days a year. Do not round intermediate calculations.) N
Margaret [11]

Answer:

Note   Contract Date   Principal   Interest Rate   Period of Note (Term)

1              March 7            $12,000           5 %                    60 days

2.             May 21             $18,000           7%                      90 days

3.            October 26      $ 14,000           4%                     45 days

1. Maturity date = 6 May

Interest expenses = $12,000*5%*60/360

Interest expenses = $100

2. Maturity date = 19 August

Interest expenses = $18,000*7%*90/360

Interest expenses = $315

3. Maturity date = 10 December

Interest expenses = $14,000*4%*45/360

Interest expenses = $70

7 0
3 years ago
You survey 100 customers. You ask a question with 4 possible responses. Each possible response is given by at least 10 customers
finlep [7]

There are 100 people and 4 answers. The minimum people for each answer is 10. You can distribute the minimum people to make it easy.

Answer 1. 10 people

Answer 2. 10 people

Answer 3. 10 people

Answer 4. 10 people

There are still 60 people that are not assigned, so you take this number and add it to the minimum.

60 + 10 = 70


Answer: The maximum number of customers giving any one response is 70 people.

3 0
3 years ago
Read 2 more answers
The required return on the stock of Moe's Pizza is 12.2 percent and after tax required return on the company's debt is 3.82 perc
GalinKa [24]

Answer:

WACC 7.71894%

Explanation:

WACC = K_e(\frac{E}{E+D}) + K_d(1-t)(\frac{D}{E+D})

Ke = 0.101

ER = 0.72

Kd = 0.0382

DR = 0.18

t = 0.35

WACC 7.71894%

4 0
3 years ago
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