Answer:
$100 in bank A
$900 in bank B
Explanation:
Since the required reserve ratio is 10%, then bank A can lend up to 90% of the funds to bank B, and must keep the remaining 10%.
- bank A = $1,000 x 10% = $100
- bank B = $1,000 x 90% = $900
If bank B borrowed the money to another client, then they would be able to borrow $900 x 90% = $810, and they should keep $90 as reserves.
Ice Cream. E<span>lasticity is higher when the good are luxuries and ice cream has </span>to actually be made.
Answer:
Fifo Ending Inventory = $ 690
Explanation:
The first in first out method implies that only the units at the end are left out in the ending inventory.
Fifo Ending Inventory = $ 690
10 units from third purchase at $ 35= $ 350
10 units from second purchase at $ 34= $ 340
Total 20 units FIFo method = $ 690
Working
Total Cost
Beginning inventory 10 units at $30 $ 300
First purchase 25 units at $32 $ 800
Second purchase 30 units at $34 $ 1020
Third purchase 10 units at $35 $ 350
Answer:
The certificate of deposit be worth $338496.8 at the end of five years if interest is compounded at an annual rate of 9%
Explanation:
Certificate of deposit of 220000 after 5 years @ 9% is calculated as below
As per the Present and future value tables of $1 at 9% presented
FVA of $ 1 after 5 years is 5.9847 and
PVA of $ 1 after 5 years is 3.88965
PV of 220000 will become = 220000*5.9847/3.88965
= $338496.8
Therefore, The certificate of deposit be worth $338496.8 at the end of five years if interest is compounded at an annual rate of 9%
