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2 years ago

Banks use a large percentage of their checkable deposits for the purpose of __________.

Business

2 answers:

Stella [2.4K]2 years ago

6 0

Answer:

D.) maintaining reserves

Explanation:

got it right on the test review

KiRa [710]2 years ago

4 0

Answer:

B. giving loans

Explanation:

The reserve requirement system requires commercial banks to maintain a small fraction of their deposits as a reserve. Only a small percentage of the checkable deposits is required to be held in the banks as reserves. The reserves requirement fractions vary with the monetary policy in place.

The percentage of reserve requirement ranges from 3% to 10%. It would hardly get to 20%. The rest other bigger percentage ( over 80%) is available to be used to create loans.

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Demand for bikes has suddenly increased, and the

soldier1979 [14.2K]

When the demand for bikes has considerably increased with a rise in price by $10, then the profit also increases by $10 on every bike sold.

<h3>What is meant by profit?</h3>

Profit is an incentive earned by a company by selling its products at a price higher than the original cost.

From the provided situation, it has been analyzed that there is a direct relationship between price and demand, which means an increase in demand leads to a rise in prices also. This will ultimately raise the profits of a company in respect of goods sold.

Therefore, the profits are also raised by $10 in a similar way as the rise in price by $10 due to an increase in demand for bikes.

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1 year ago

the starting point for preparing the operating activities section using the indirect method is ______.

insens350 [35]

Organizations often have different operations. The starting point for preparing the operating activities section using the indirect method is Net income.

Net income is simply known to be the gross profit and removing all other expenses, costs and any other income and revenue sources that are not included in gross income.

A lot of other costs is often removed from gross to make it be at net income. They include interest on debt, taxes, and operating expenses or overhead costs.

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2 years ago

Ban Co purchased 50, 5% Waylan Company bonds on January 1, 2016 for $50,500 cash Interest is payable annually on January 1 the J

I am Lyosha [343]

Answer:

a. debit to Interest Revenue for $2,500

Explanation:

Based on the information given we were told that Ban Company made a purchased of 50, 5% Waylan Company bonds for the amount of $50,500 which is a cash Interest that is payable annually which means that the annual interest payment would include a: DEBIT to Interest Revenue for $2,500 calculated as :

Interest Revenue=[(50 x $1,000)×5%]

Interest Revenue=$50,000×0.05

Interest Revenue =$2,500

5 0

3 years ago

The fact that less than half of all equity fund managers beat the market in most years indicate that the stock market is _____.

hoa [83]

Answer: largely efficient

Explanation:

The fact that less than half of all equity fund managers beat the market in most years indicate that the stock market is largely efficient.

According to the strong-form hypothesis of the efficient market, when there is an efficient market, all the private and public information would be reflected in the prices of the stock.

5 0

2 years ago

On March 12, a company provides services on account to an individual Hospital for $9,100, terms 2/10, n/30. An individual does n

shutvik [7]

To record the transactions with the individual hospital company, the following journal entries are made:

<h3>Journal Entries:</h3>

March 12: Debit Accounts Receivable $9,100

Credit Services Revenue $9,100

To record the sale of services on terms 2/10, n/30.

March 31: Debit Cash $9,100

Credit Accounts Receivable $9,100

To record the receipt of cash in full settlement.

<h3>Transaction Analysis:</h3>

March 12: Accounts Receivable $9,100 Sales Revenue $9,100

Terms 2/10, n/30

March 31: Cash $9,100 Accounts Receivable $9,100

Thus, the journal entries for the customer do not require the recognition of the 2% sales discount since the customer could not pay within the discount window.

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2 years ago