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Ivenika [448]
3 years ago
13

The Federal Reserve carries out open-market operations, buying $2 million worth of Treasury Bills from banks. This action increa

sed the money supply by $3 million. Assuming that the currency-deposit ratio for the U.S. economy is 1.20, determine what percent of deposits the banks hold as reserves.
Business
1 answer:
klemol [59]3 years ago
7 0

Answer:

67%

Explanation:

Money supply = Money multiplier * Deposit worth

3 = Money multiplier * 2

Money multiplier = 3/2

Money multiplier = 1.5

Now, Money multiplier = 1 / Reserve ratio

1.5 = 1 / Reserve ratio

Reserve ratio = 1/1.5

Reserve ratio = 0.6667

Reserve ratio = 67%

So, the percent of deposits the banks hold as reserves is 67%

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On October 10, the stockholders’ equity of Sherman Systems appears as follows. Common stock–$10 par value, 77,000 shares authori
Vikki [24]

Answer:

See the explanation below:

Explanation:

1. Prepare journal entries to record the following transactions for Sherman Systems

a. Purchased 5,500 shares of its own common stock at $30 per share on October 11.

<u>Details                                                            Dr ($)               Cr ($)   </u>

Treasury Stock (5,500 × 30)                         165,000

Cash                                                                                      165,000

<u><em>To record the repurchase of own common stock                            </em></u>

b. Sold 1,125 treasury shares on November 1 for $36 cash per share.

<u>Details                                                            Dr ($)               Cr ($)     </u>

Cash (1,125 × 36)                                            40,500

Treasury Stock (1,125 × 30)                                                  33,750

Paid-in Capital from Sale of Treasury Stock                        6,750

<em><u>To record the sale of treasury stock.                                                      </u></em>

c. Sold all remaining treasury shares on November 25 for $25 cash per share.

<u>Details                                                                Dr ($)               Cr ($)     </u>

Cash (4,375 × 25)                                                109,375

Paid-in Capital from Sale of Treasury Stock       6,750

Retained Earnings                                                15,125

Treasury Stock 99,000 (4,375 × 30)                                       131,250

<em><u> To record the sale of the remaining treasury shares                               </u></em>

Kindly note that there is a balance of $6,750 in the Treasury Stock Paid-in Capital account. Since it is utilized, the remaining deficit will show in Retained Earnings.

2. Prepare the stockholders' equity section after the October 11 treasury stock purchase.

<u>Details                                                                                            $     </u>

77,000 issued authorized common stock–$10 par value    770,000

Paid-in capital in excess of par value, common stock           241,000

Retained earnings                                                                    904,000

Treasury stock                                                                        <u> (165,000)</u>

Total stockholders’ equity                                                      <u>1,750,000</u>

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A detailed description of the money your business makes and expends every month for the first year is called a(n) A cash-flow st
Oksana_A [137]

Hello there,

A detailed description of the money your business makes and expends every month for the first year is called a(n)

Answer: Cash-flow statement.

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Lumberne is a continent comprising 18 countries. Currently, Lumberne is a free trade area and an economic union including all 18
PIT_PIT [208]

Answer:

political union.

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This is an example of a political Union.

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However, there are some disadvantages for employees too. For example, employees usually need to provide a lot of personal information in order to gain access to such application. Moreover, if they are confused about a particular aspect of it, it can be difficult to get personal help or support.

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3 years ago
Which career pathways contain the highest level of education required, and which contain the lowest?
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From the available options in the question, it is clear that the career pathways that would require the highest and lowest level of education has been described in (C) the Marketing Information and Research pathway and Management and Entrepreneurship pathway contain the highest education level, and the Buying and Merchandising pathway and Professional Sales and Marketing pathway contain the lowest.

The two fields with the highest educational requirements would need at least a Bachelor’s degree for an entry level position, while latter two fields would just need a high school diploma.

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