All categories

3 years ago

1. The discount rate is the interest rate the Fed charges on loans of reserves to banks.

Business

1 answer:

krek1111 [17]3 years ago

7 0

Answer:

1. True.

2. True.

Explanation:

The Federal Reserve System ( popularly referred to as the 'Fed') was created by the Federal Reserve Act, passed by the U.S Congress on the 23rd of December, 1913. The Fed began operations in 1914 and just like all central banks, the Federal Reserve is a United States government agency.

Generally, it comprises of twelve (12) Federal Reserve Bank regionally across the United States of America.

1. The discount rate is the interest rate the Fed charges on loans of reserves to banks.

2. The federal funds rate is the interest rate banks charge for overnight loans of reserves to other banks.

You might be interested in

Look at the following picture and think about the organizational structure. Your task is to advise someone on how that organizat

Veseljchak [2.6K]

Answer:

top down management

Explanation:

This organizational structure seen in the picture is a representation of top down management. In this structure, the individual at the top of the hierarchy has the most power and full command. Instructions are passed down the chain of command. For example, the CEO is in charge of the company and gives orders to the Managers (Production and Marketing). These managers follow that order and decide what orders to give the individual's under their supervision in the chain of command. These individuals are represented by the connecting lines in the diagram to the Managers. Once these individuals (Foremen and Sales Officer's) receive their orders, they create and relay their own orders down to the Workers and Salespeople.

4 0

2 years ago

Juniper Co uses a perpetual inventory system and the gross method of accounting for purchases. The company purchased $9750 of me

KatRina [158]

Answer:

D) Debit Accounts Payable $1500; Credit Merchandise Inventory $1500

Explanation:

The journal entry to record the merchandise return is shown below:

Account payable A/c Dr $1,500

To Merchandise inventory A/c $1,500

(Being returned inventory is recorded)

For recording the returned inventory we debited the account payable and credited the merchandise inventory account so that the proper posting could be done

6 0

3 years ago

Craigmont Company's direct materials costs are $4,200,000, its direct labor costs total $8,080,000, and its factory overhead cos

USPshnik [31]

Answer:

$12,280,000.

Explanation:

All the direct costs involved in the manufacturing of a product except fixed cost is called prime cost e.g direct material, direct labor etc.

Direct Material = $4,200,000

Direct labor = $8,080,000

Total Prime cost = Direct material + Direct labor = $4,200,000 + $8,080,000 = $12,280,000

Overhead costs are not classified as the prime cost because these are indirect costs.

4 0

3 years ago

If government spending occurs, there will be a(n) _______ of private-sector investors, described as a(n) _______ of that spendin

MrRa [10]

If government spending occurs, there will be a(n)crowding out of private-sector investors, described as a(n) opportunity cost of that spending.

<h3>What is government spending?</h3>

This is the term that is used to refer to all forms of expenditures that the government of a place may embark on.

Spending is an expansionary policy that helps to stimulate the government of a place.