Answer:
$64 million
Explanation:
The excess reserves available for the bank to lend if the minimum reserve ratio is 20% is <u>$64 Million.</u>
Answer:
D. When a desirable product or service is scarce, its value increases.
Explanation:
Demand is the volume of a commodity or service that buyers are willing to purchase in the market at a given price. Supply refers to the quantity of service of a product that suppliers are willing to avail in the market for sale. The law of supply and demand illustrates the interactions between buyers and sellers.
As prices increase, sellers are willing the supply more, but buyers will want to buy fewer quantities. The opposite is also true. Products that provide a higher utility value will always attract high prices. If such products are scarce, their prices are bound to go even higher.
Answer:
The correct answer is letter "A" and "C": An increase in the family's car payment means the family will be unable to afford a vacation; A newer model offers better protection and functions but is more expensive than an older model.
Explanation:
Trade-offs are the result of comparing what must be acquired with what should be given up to satisfy most of a need. While selecting a new vehicle, a family must consider its capacity, size, and price. Besides, they will have to evaluate all the could be left behind for incurring such expenses like buying a new piece of furniture of use of most members of the family, remodeling part of the house or going on a family vacation.
It would be hardest to pass a tax increase on A. automatic car washes, because car washes are relatively more elastic than other products mentioned, so consumers would like this change the least.
Answer:
Christopher
He will need to contribute $661.51 every quarter for seven years.
Explanation:
a) Data and Calculations:
To save up to $20,000 for a house down payment seven years from now, Christopher needs to save every quarter:
Results
PMT = $661.51
N (# of periods) = 28
I/Y (Interest per year) = 2.25
PV (Present Value) = 0
FV (Future Value) = $20,000
P/Y (# of periods per year) = 4
C/Y (# of times interest compound per year) = 4
PMT made at the of each quarter
Sum of all periodic savings = $18,522.41
Total Interest = $1,477.59
