Answer:
Ingroup favoritism.
Explanation:
Ingroup favoritism—the tendency to favor members of one's own group over those in other groups—is well documented, but the mechanisms driving this behavior are not well understood.
Answer:
A single commercial bank cannot lend more than its reserves because if checks are written for a higher amount than those reserves, the commercial bank will lose its reserves.
On the other hand, in a fractional reserve system, the system as a whole cannot lose reserves because they are backed up by other banks.
Finally, the relationship between the monetary multiplier and the reserve ratio is inversely proportional. If the reserve ratio goes up, the money multiplier will go down because banks will have less money available to loan, and therefore, will create a lesser amount of money.
Answer:
($32,511)
Explanation:
The cash generated from operating activities can be calculated using the following formula:
Net change in cash in hand = Cash generated from Operating activities + Cash generated from Investing activities + Cash generated from financing activities
Here
Net change in cash in hand is $(12,511)
Cash generated from Investing activities is $25,000
Cash outflows from financing activities are $(5,000)
So by putting the values in the above equation, we have:
$(12,511) = Cash generated from Operating activities + $25,000 - $5,000
Cash generated from Operating activities = - $12,511 - $25,000 + $5,000
= - $32,511 = ($32,511)
Answer:
a)10.35% b) 10.13%
the b. What is the bond's yield to call?
Explanation:
a)K = N
Bond Price =∑ [(Annual Coupon)/(1 + YTM)^k] + Par value/(1 + YTM)^N
k=1
K =10
1100 =∑ [(12*1000/100)/(1 + YTM/100)^k] + 1000/(1 + YTM/100)^10
k=1
yield to maturity% = 10.35
b) K = Time to call
Bond Price =∑ [(Annual Coupon)/(1 + YTC)^k] + Call Price/(1 + YTC)^Time to call
k=1
K =4
1100 =∑ [(12*1000/100)/(1 + YTC/100)^k] + 1060/(1 + YTC/100)^4
k=1
Yield to call % = 10.13