a. from proceeds it has received from selling bonds in the past.
b. from dues paid to it by member banks.
c. by creating it.
d. from the government.
During recession, the government used the expansionary policies in order to improve and stimulate the economy. Buying bonds by the government is a way of increasing money supply in the economy.
To achieve this, the government simply has to create it which can simply be done by printing the currency.
Based on the information provided it is safe to say that by setting the price at $12,700 Xerox used a skimming pricing strategy. This is a pricing strategy in which the firm/company places their new product in the market with the highest price they can give it and go slowly lowering the price as time goes on. This is mostly done with brand new, one of a kind products that do not have competition, like the portable fax machine that Xerox designed.
