JANUARY ACCOUNTS

Which of the following is a potential operating instrument for the central bank? A. The M1 money supply B. The monetary base C.

Angelina_Jolie [31]

Answer:

The correct answer is B. The monetary base.

Explanation:

The Monetary Base is made up of all legal money in circulation (that is, bills and coins), added to the reserves of commercial banks in the central bank. In other words, it is the legal money issued by the Central Bank of a country and can be in the hands of the public, or else in the cashier of the different commercial banks that the financial sector of the country. The monetary base is monitored by the central bank and constitutes its main way to control the money supply. Also another way to define the monetary base is that they constitute the monetary liabilities of the central bank.

7 0

2 years ago

Net income or net loss for a period is calculated by the following formula

V125BC [204]

<span>Revenues–Expenses–Current Debt = Net Profit or Net Loss

</span>

3 0

3 years ago

Read 2 more answers

PLEASE HELP ME

Gnom [1K]

Answer:

C

I hope it helps, sry if it doesn't!

I don't rly know how to explain it tho

Explanation:

6 0

2 years ago

On January 1, 2021, Clark Corporation sold an $800,000, 7% bond issued for $767,320. The bonds are to pay interest quarterly and

serg [7]

Clark Corporation's total cost of borrowing $800,000, 7% bonds issued for $767,320 for 5 years is $344,702.87.

<h3>What is the total cost of borrowing?</h3>

The total cost of borrowing includes the bond discounts and the interest expenses.

In this case, the total cost of borrowing is $344,702.87. However, this is only the pre-tax cost.

<h3>Data and Calculations:</h3>

Face value = $800,000

Interest rate = 7%

Bonds proceeds = $767,320

Bonds discounts = $32,680 ($800,000 - $767,320)

Maturity period = 5 years

Market rate = 8%

Interest payment = quarterly

Quarter interest expense = $14,000 ($800,000 x 7% x 1/4)

N (# of periods) = 20 (5 x 4)

I/Y (Interest per year) = 8%

PMT (Periodic Payment) = $14,000 ($800,000 x 7% x 1/4)

FV (Future Value) = $800,000

<u>Results:</u>

PV = $767,297.13

Sum of all periodic payments = $280,000 ($14,000 x 20)

Total Interest = $312,702.87

Total cost of borrowing = $344,702.87 ($32,680 + $312,702.87)

Thus, Clark Corporation's total cost of borrowing $800,000, 7% bonds issued for $767,320 for 5 years is $344,702.87.

Learn more about the total cost of borrowing at brainly.com/question/25599836

6 0

1 year ago

Shareholders' equity is equal to: Group of answer choices total assets plus total liabilities. net fixed assets minus total liab

faust18 [17]

Shareholders' equity is equal to net fixed assets minus long-term debt plus net working capital.

Shareholders' equity refers to the amount owners of a company have invested in the said company:

Shareholders' equity includes the money they've directly invested and the accumulation of income that has been accrued in the name of the company as earned since the start of the investment and reinvestment.
It refers to the ownership of assets that may have liabilities or debts connected to them.
Shareholder's equity is equal to the net fixed assets of the company subtracted from the long-term debt and added to the net working capital.
Another way to ascertain shareholders' equity is by subtracting total assets from total liabilities.

Therefore, shareholders' equity is equal to net fixed assets minus long-term debt plus net working capital.

Learn more about shareholders' equity here: brainly.com/question/14032844

#SPJ4

3 0

2 years ago