Answer: Please see answer in explanatory column
Explanation:Classifying each according to cash flow activity in terms of operating, investing, or financing activity gives
(a) Purchase of equipment.-----investing activity
(b) Sale of building.-----investing activity
(c) Redemption of bonds.-----financing activity
(d) Cash received from sale of goods. ------investing activity
(e) Payment of dividends.-------financing activity
(f) Issuance of capital stock. -------financing activity
Answer:
The Required Reserve Ratio is 25% for all banks. Assuming that all the customers that have outstanding loans have used all of those additional funds to invest in new machinery for their businesses (therefore, the amount of Checkable Deposits is the true liability the bank has to its customers), the whole system (these three banks) is capable of creating $___3,400,000____ in new loans.
Explanation:
a) Data and Calculations:
Required Reserve Ratio (RRR) = 25%
Checkable Deposits:
First National Bank $250,000
Second National Bank 100,000
Third National Bank 500,000
Total of Checkable Deposits = $850,000
Money Supply = Total Checkable Deposits/Required Reserve Ratio
= $850,000/25%
= $3,400,000
b) The computation of the total Money Supply is based on the stated assumption that "all the customers that have outstanding loans have used all of those additional funds to invest in new machinery for their businesses (therefore, the amount of Checkable Deposits is the true liability the bank has to its customers)."
Answer:
4 minutes.
Explanation:
The rate of flow from the tap is 2 gallons every six second
which comes out to be 1 gallons per 3 seconds.
so for 80 gallons we can simply
3 * 80 = 240 which is 240 seconds.
Thus it would take 4 minutes to fill up the 80 gallon tub.
Answer:
C) A team member can work on several projects
Answer:
d. debit Retained Earnings, $3,000; credit Dividends, $3,000.
Explanation:
The journal entry to close the dividend account should be
Retained earnings Dr $3,000
To Dividend $3,000
(being the closing of the dividend account is recorded)
here the retained earning is debited as it decreased the stockholder equity and dividend is credited as it is closed