Answer: Option (B) is correct.
Explanation:
Given that,
Reserve ratio = 25%
Fed reserve bank sells (securities) to public = $120 million
When a central bank sells the government securities to the public then as a result money supply in an economy decreases. This is an instrument of monetary policy known as " Open market Operations".
The supply of money is directly decreases by $120 million.
and
Money creating potential of banks = Amount of securities × 
= 120 × 
= 120 × 3
= $360 million
Hence, a decrease in money supply could eventually reach a maximum of $360 million.
Answer:
The journal entry to record accrued salaries would include a credit to salaries payable of $364500.
Explanation:
Salaries payable = 500000 - (500000*6%) - (500000*1.5%) - 98000
= $364500
Therefore, The journal entry to record accrued salaries would include a credit to salaries payable of $364500.
a. Standard labor-hours is 7920 hours.
b. Standard labor cost allowed is $42,768.
c. The labor spending variance is $1588(U).
d. The labor rate variance is $1706 and the labor efficiency variance $3294(U).
e. The variable overhead rate is $5971(U) and efficiency variances for the month $5580(U).
<u>Explanation:</u>
a)Standars hours(SH) allowed to make 19800 jogging mates
=SH per unit 
19800
=(24/60)*19800
=7920 hours
24/60 has been taken to convert minutes into hours.
b)Standard Labor Cost (SC) of 19800 jogging mates
=$42,768
c)Labour Spending Variance
=$1588(U)
d)Labor Rate Variance
=$1706
Actual Hours(AH) * Actual Rate per hour(AR)= Actual Cost(AC)
Labor Efficiency Variance
=$3294(U)
e) Variable overhead rate variance = Actual hours worked (Standard overhead rate - Actual overhead rate)
= 8530 (4.5 - 5.20)
= $5971(U)
Actual overhead rate = $44,356 / 8530 = 5.20
Variable overhead efficiency variance = Standard overhead rate (Standard hours - Actual hours)
= 4.50 (7290 - 8530)
= $5580(U).
Answer:
B) Supplier cost differentiation
Explanation:
As per the Porter model of generic strategies, there are three strategies which are as follows
1. Cost leadership strategy: It deals with less cost to reach broad market
2. Differentiation strategy: It deals with offering different products to reach broad market
3. Focus strategy: In terms of cost leadership and differentitaion, it focused with less cost and offered unique products at narrow market segment
Therefore the option B is not included
Answer:
1) In general, is it a good idea to make only minimum payments on your credit cards?
-
No, the small payment requirement is mathematically guaranteed to keep you in debt for many years.
All you have to do is analyze the interest rates charged by the credit card companies and it is really difficult for any investment to match those interest rates.
2) Assuming you have $1,500 in your budget this month with which to pay down your credit cards, how much should you pay on each card?
I would start with the cards that charge the highest interest rates. I would pay the full balance of the department store card and the gasoline card = $600 + $300 = $900
Since I have $600 left, I would then pay the minimum payments for the cards that charge the least interest rates. I would pay $40 to Discover card and $60 to VISA.
The remaining $500 would be used to pay MasterCard 1 card and lower its balance.
