You reply that "OMOs are the purchase and sale of government securities. To increase the money supply we will buy government securities which increases the amount of reserves in the banking system and fuels deposit expansion".
<u>Option: A</u>
<u>Explanation:</u>
The action of central bank to offer or take liquidity from or into a bank or a collection of banks in its exchange rate currencies is understood as an open market operation or OMO. The central bank is the only origin of such policy which may either purchase or sell the bonds of government on the open market or in what is now often the acceptable option, engage into a repo or protected lending agreement with a commercial bank: the central bank lend the monetary as a reserve over a given period of time and concurrently selects the qualified asset as security.
Here the Chair of the Federal Reserve Board explained OMO for the purpose of their use in the scenario of increasing money supply, by purchasing or selling the bonds or securities of public authorities to eligible bodies for the increment of assets in banking sector to drive the expansion of deposits.
The syllogism used is conditional, that is, it occurs through deductive reasoning, because if the minor premise is true, the minor premise will also be true.
<h3 /><h3>What is Conditional syllogism?</h3>
It is a type of syllogism widely used in everyday life, but the conclusion is not always true, because despite having two true premises, the conclusion can be false, because the argumentation is not always valid, as it does not directly represent the premises.
Therefore, despite being syllogisms that follow the pattern of "If" and "then" to express a logic, the conclusion will not always be true, as this type of syllogism can also be hypothetical.
Find out more about syllogism here:
brainly.com/question/361872
Answer:
Ski Golf Fishing
Guard Guard Guard
selling price $260 $330 $205
variable cost $120 $180 $135
contribution margin $140 $150 $70
machine time 9 min. 12 min. 11 min.
lbs. of pellets 12 7 11
total machine time is the constraint in the production process
1a)
contribution margin per $933.33 $750 $381.82
machine hour
1b)
ski guard since its contribution margin per machine hour is much higher than the rest of the products
1c)
fishing guard since its contribution margin per machine hour is much lower than the rest of the products
2a)
Ski Golf Fishing
Guard Guard Guard
contribution margin per $11.67 $21.43 $6.36
lbs. of pellets
2b)
Golf guard since its contribution margin per lb. of pellets is much higher than the rest of the products
2c)
fishing guard since its contribution margin per lb. of pellets is much lower than the rest of the products
3)
Golf Guard ($150)
Answer: $11.16 million.
Explanation:
Free Cash Flow Catering Corp Earnings Before Interest and Tax (EBIT) can be calculated by the following formula,
EBIT = Operating Cashflow + Taxes - Depreciation.
Operating Cashflow = Free Cashflow + Investment in Operating Capital
= 8.08 million + 2.08 million
= $10.16 million
EBIT = 10.16 million + 2.08 million - 1.08 million
EBIT = $11.16 million.
Answer:
6,000 units
Explanation:
We know that
Break even point in units = (Fixed expenses ) ÷ (Contribution margin per unit)
where,
Contribution margin per unit = Selling price per unit - Variable expense per unit
The selling price would be
= $500 - $500 × 4%
= $500 - $20
= $480
And, the Variable expense per unit is $350
So, the contribution margin per unit would be
= $480 - $350
= $130
So, the break even point in unit should be
= $780,000 ÷ $130 per units
= 6,000 units
