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VikaD [51]
3 years ago
13

Money Bank has $500 million dollars in deposits and has 12 percent reserve ratio, how much can Money Bank lend

Business
1 answer:
bixtya [17]3 years ago
6 0

Answer:

Money Bank can lend up to $4,167 million.

Explanation:

a) Data and Calculations:

Total deposits = $500 million

Reserve ratio = 12%

Money created by Money Bank = $500/12% = $4,166,666,667

b) The total amount of money which Money Bank can create and lend is dependent on its customers' deposits and the reserve ratio.  This amount can be calculated by dividing the total deposits by the reserve ratio.  This implies that the less the reserve ratio, the more money Money Bank can create and lend out to customers.

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The target is exploring a new distribution strategy aimed at speeding up re-cutting and making the seller more inclined as they compete with competitors such as Amazon and Walmart.

<h3>What new distributive strategy Target is focusing on?</h3>

Target is trying a new strategy to distribute products in its stores. The aim is to integrate the target completion cycle from days to hours and to reduce the number of goods in stores.

The center sends small items and often to stores while using the same inventory to fill online orders.

Thus, the correct statement is Option B.it needs to speed up restocking.

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6 0
2 years ago
Which of the following is a potential benefit of inflation?
Vsevolod [243]
 Potential benefit of inflation will be the D More business profits.

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4 0
3 years ago
Goods that are created and used domestically are __________.
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The answer is C. Produced and consumed in one country. 
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7 0
3 years ago
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Broker Burns is negotiating a first trust deed loan for buyers. The buyers have signed a contract for a fifteen year loan. What
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Answer:

The answer is 2. Ten percent of the principal of the loan

Explanation:

By law, maximum commissions for first trust deed loans are at :

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Second trust deed loans, on the other hand, are stated at 5% for loans up to 2years, 10% for loans between 2-3 years and 15% for loans more than 3 years.

8 0
4 years ago
Following the 2007-2009 financial crisis, many people feared that Greece might leave the euro and resume using the drachma. If t
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Answer:

A medium of exchange

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