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3 years ago

How do banks make profits?

Business

2 answers:

Fiesta28 [93]3 years ago

3 0

They make profits by people going into their banks

Gwar [14]3 years ago

3 0

Answer:

Banks make money from service charges and fees. Banks also earn money from interest they earn by lending out money to other clients.

Explanation:

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A subsidy that is used to internalize a positive externality will ideally cause the demand curve to shift __________ to the ____

ddd [48]

Answer:

a. rightward

b. MSB

c. increase

Explanation:

Externalities are defined as consumption, production and investment decisions made by individuals, households and companies and that affect third parties that do not participate directly in these transactions. Sometimes those indirect effects are minuscule. But when they are large, they can be troublesome; That is what economists call "externalities." Externalities are one of the main reasons that lead governments to intervene in the economy.

When there are externalities, indirect effects are produced that affect the consumption and production opportunities of third parties, but the price of the product does not reflect those externalities. Therefore, private returns and costs are different from those assumed by society as a whole .

5 0

3 years ago

After years of using a mass marketing strategy, Digital Print Shops has responded to new competition from national chain stores

Kisachek [45]

Answer:

The answer to this question is B. Niche marketing

Explanation:

Niche marketing involves identifying and exploiting a small segment of a larger market by developing products to suit it. identifying and exploiting a small segment of a larger market by developing products to suit it.

A niche market cater for the unique demands that aren't being addressed by mainstream providers. Organisations pursue niche markets as a way to build loyalty and revenue with a largely-overlooked audience.

We can therefore conclude from the explanation in the questions as regards the activities of Digital Print Shops that it using a Niche marketing strategy

Hence the answer is B. Niche marketing

4 0

4 years ago

Read 2 more answers

On April 1, Townsley Company sold merchandise with a selling price of $10,000 on account to Trout Company, with terms 3/10, n/30

mamaluj [8]

Answer and Explanation:

The journal entry is shown below:

Cash $8,730

Sales Discount ($9,000 × 3%) $270

To Accounts receivable $9,000 ($10,000 - $1,000)

Here cash and sales discount is debited as it increased the assets and discount while on the other hand the account receivable should be credited as it reduced the assets

3 0

3 years ago

Tools such as _______ can be useful in scheduling activities and checking for bottlenecks and overlaps.

lions [1.4K]

The answer for the blank space is "<span>Gantt chart".

A Gantt chart is a sort of bar graph that delineates a task plan. Gantt charts illustrate the beginning and completion dates of the terminal components and rundown components of a project. Terminal components and rundown components contain the work breakdown structure of the project.</span><span>
</span>

3 0

3 years ago

The following information relates to a company’s accounts receivable:

Morgarella [4.7K]

Answer:

1. the year-end balance in allowance for uncollectible accounts is $6,680.

2. The bad debt for the year is -$2,320.

Explanation:

1. To calculate the year-end balance in allowance for uncollectible accounts:

First we calculate the Account Receivable which is calculated as thus:

==> Account Receivable (ending balance) = accounts receivable (beginning balance) + Credit sales - cash collected - written off accounts receivable.

==> 300,000 + 1,500,000 - 1,450,000 - 16,000 = $334,000

Therefore the account receivable = $334,000.

Estimated percentage of bad debts = 2%

allowance of uncollectible accounts = Account Receivable x Estimated percentage.

==> $334,000 x 2% = $6,680

Hence, the year-end balance in allowance for uncollectible accounts is $6,680.

2. To calculate the bad debt expense for the year, we use:

allowance of uncollectible acountsl (ending balance) - [Allowance of uncollectible account (opening balance) - accounts receivables written off)

==> $6,680 - ($25,000 - $16,000)

= 6,680 - 9,000

= -$2,320

The bad debt for the year is -$2,320. This is incurred when customers pay for an invoice when it has been written off.

6 0

3 years ago

Read 2 more answers