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Vanyuwa [196]
3 years ago
12

calculate how much credit created by commercial bank when there is a deposit of 80000, reserve requirement is 8% and withdrawl i

s 35%?
Business
1 answer:
Scrat [10]3 years ago
6 0

Answer:

Amount of credit created by commercial bank = 47,840

Explanation:

Given:

Total deposit in bank = 80,000

Reserve requirement = 8%

Withdrawal = 35%

Find:

Amount of credit created by commercial bank

Computation:

Amount available for withdrawal = Total deposit in bank[1 - Reserve requirement]

Amount available for withdrawal = [80,000][1-8%]

Amount available for withdrawal = 73,600

Amount of withdrawal = Amount available for withdrawal[35%]

Amount of withdrawal = 73,600[35%]

Amount of withdrawal = 25,760

Amount of credit created by commercial bank = 73,600 - 25,760

Amount of credit created by commercial bank = 47,840

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uranmaximum [27]

The effect of the demand and supply chain can be seen in the highly volatile nature of the music industry.

Explanation:

The principles are highly accurate for many industries that are given in the article  "The Effect of Price on Number of Suppliers."

This is effectively about the demand and supply chain and one can see how this applies to the people in the music industry who have to deal with these overhauls.

The industry is largely volatile and there are trends that come and go in a couple of years and with them go away whole labels and and artist.

The people who survive are the ones that adapt and do not go all in on one trend or another.

This one can even see in other business practices.

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2 years ago
Securities not listed on one of the exchanges trade in the over-the-counter market. In this exchange, dealers "make a market" by
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Answer:

(C) doing both of the above

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6 0
3 years ago
Which wholesaler's channel function is demonstrated when a buyer receives quicker delivery because wholesalers are located close
Bess [88]

Answer:

E. transportation

Explanation:

The wholesaler is one of the middle-men in the channel of distribution that stands between the producer and the retailer in bulk breaking, he buys in bulk from the producers and sell to the retailer.

One of the functions of the wholesaler in the distribution value chain is the transportation of goods from manufacturer's warehouse to his warehouse at his own cost, thereby bringing the products closer to the consumers.

 

4 0
3 years ago
How many years would it take for money to increase to 3 times the initial amount at an interest rate of 18% per year?
arlik [135]

Answer:

7 years (to the nearest year)

Explanation:

Given that;

A = amount

P= principal

t = time

r = rate

A =3P(given in the question)

Formula for compound interest;

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Substituting values;

3P = P(1 + 18/100)^t

3P/P= (1.18)^t

3 = (1.18)^t

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t = log 3/log 1.18

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Mike is an innovative leader who keeps going
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