Answer:
International flows of funds can affect the Fed's monetary policy. For example, suppose that interest rates are trending lower than the Fed desires. If this downward pressure on U.S. interest rates may be offset by <u>outflows</u> of foreign funds, the Fed may not feel compelled to use a <u>tight </u>monetary policy.
Explanation:
A Tight Monetary Policy is when the central bank tightens policy or makes money tight by raising short-term interest rates through policy changes to the discount rate, also known as the federal funds rate. Boosting interest rates increases the cost of borrowing and effectively reduces its attractiveness.
Outflows of foreign funds or the flight of assets occurs when foreign and domestic investors sell off their holdings in a particular country because of perceived weakness in the nation's economy and the belief that better opportunities exist abroad.
The reasoning is as follows, the rate is down in the USA so holders of assets look for better rates abroad as a consequence there is less money in the US domestic economy and automatically the rate tend to rise (remember that interest rate is the price of money). If there is less supply of something the price of that something will go up (ceteris paribus). The same thing will happen to the interest rate without the intervention of the FED.
Answer:
A factor company
Explanation:
A factor company is a finance company that specializes in purchasing company's accounts receivable,then goes ahead to collect the balances from the customers for a fee.
A factor company sometimes does this with a recourse to the company whose receivable has been factored or without a recourse.
With a recourse means that any accounts receivable balance uncollected would be transferred to the original company while without a recourse is the opposite situation
Answer: Persuasion
Explanation: Persuasion can be define as the act of influencing someone or changing their mindset. In such case, the one persuading other must have his own mind set.
In the given case, George wants the audience to change their mindset of using plastic bottles as they are harmful for environment.
Thus, from the above we can conclude that the purpose of George behind his speech is persuasion.
Answer:
$2,500,000
Explanation:
Calculation for the current liabilities total
Account payable and Accrued Liabilities $1,761,000
Add Income tax payable $654,000
Add Deferred income tax liability $85,000
Current liabilities total $2,500,000
($1,761,000+$654,000+$85,000)
Therefore the Current liabilities total is $2,500,000
Answer:
B. To determine what caused an accident and how similar accidents can be prevented in the future.
