An Individual Retirement Account (IRA) is a plan that enables workers and their spouses to set aside money for retirement.
A Roth IRA is an IRA whose contributions are not tax deductible. However, its accumulated earnings are free of tax.
Answer:
d $250,000; subtracted from
Explanation:
Sales of U.S. Treasury bills to the banking system by the Fed is a contractionary monetary policy that will reduce the money supply.
Based on the money supply multiplier, the amount of the reduction in money can be calculated as follows:
Amount of reduction in money supply = $25,000 / 10% = $250,000.
Therefore, if the banking system does NOT want to hold any excess reserves, <u>250,000</u> will be <u>substracted from</u> the money supply.
Answer:
C) The Actual Quantity (AQ) of direct materials used was less than the standard quantity for actual output
Explanation:
To be favorable (positive) the difference between standard and actual quantity needs to be positive.
The standard quantity will be calculate doing the standard per unit times the total units produced during the period.
Resuming Standard Quantity would be the expected for the actual output.
(A) refers to prices, this variance is for volume
(B) if standard is less than actual, it means we spend more raw materials than it should be, the variance will be unfavorable
(D) same as B if actual are higher (or standard is lower) then we spend more raw materials than expected, the variance is negative
(C) when actual is less, it means we use less than expected, we saved raw materials, the variance is favorable.