Pick out each sort of retirement account: it's miles a qualified retirement plan sponsored by means of an agency.
A few eligible employees can make contributions that are salary deferral. Contributions may be made put up-tax or pre-tax. There are a few regulations on the withdrawal restriction as personnel can not withdraw the assets to a positive extent, if employees do so, they will be penalized.
A man or woman's retirement account in America is a shape of pension furnished by many financial establishments that gives tax blessings for retirement savings. it's miles a belief that holds funding belongings bought with a taxpayer's earned earnings for the taxpayer's eventual advantage in the antique age.
An IRA, or personal retirement account, is an account on your retirement that enables you to postpone paying taxes till the money is withdrawn. it is similar to a 401(okay), however, in preference to the account being managed through your business enterprise, that is an account you pick and manage yourself.
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Which 2 statements are true about overriding the default sales tax that appears on an invoice?
Following are the statements which are true about overriding the default sales tax that appears on an invoice:
You can use a custom rate instead of overriding
You must be a Primary Admin user to override the sales tax
Hence, options A and D are correct.
What is a sales tax?When there is an amount of money which is calculated on a particular percentage basis, and after adding to the cost of a product or service, whatever is purchased by a consumer or customer at a retail location is charged to do so under the sales tax.
When it is about overriding the default sales tax, which is on an invoice at this time, it has to custom rate and also act as a primary admin user so that they can override the sales tax
Therefore, options A and D are correct.
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The complete question has been attached in text form:
Which 2 statements are true about overriding the default sales tax that appears on an invoice? (Select all that apply)
A. You can use a custom rate instead of overriding
B. You must enter a reason in a free-form text field
C. Only Accountant users can override the sales tax
D. You must be a Primary Admin user to override the sales tax
E. You can express the override in terms of dollars or a percentage
lorena’s cart took out a loan from the bank today for $248,000. the loan requires lorena’s cart to make a special payment of $86,000 to the bank in 4 years and also make regular, fixed payments of x to the bank each year forever. the interest rate on the loan is 8.91 percent per year and the first regular, fixed annual payment of x will be made to the bank in 1 year. what is x, the amount of the regular, fixed annual payment?
How personal loans are repaid
You are responsible for paying interest and any other fees related with your personal loan in addition to the principal amount.
Principal: The sum borrowed and credited to your account.Interest is the fee the lender charges you for a loan. Your interest rate and paid upfront expenses, like as origination fees, are included in your annual percentage rate (APR). Your monthly payments won't fluctuate over the course of the loan because the majority of personal loans have fixed interest rates. Your credit score and credit history impact interest rates; the better your credit score, the cheaper your interest rate will be.
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A warning sign that a credit counseling agency may not be legitimate is when they promise to _____. a. work with creditors to come up with a reasonable payment plan for paying off debt b. help lower the monthly payments you must make to your creditors c. pay off your debts by lowering the interest rate that you pay on them d. settle your debts without it hurting your credit rating please select the best answer from the choices provided a b c d
A warning sign that a credit counseling agency may not be legitimate is when they promise to settle your debts without it hurting your credit rating. A credit rating is a gauge of a person's or a business's capacity to repay a financial commitment based on income and previous repayment records.
A credit rating, usually represented as a credit score, is one of the elements used by banks and lenders to assess whether or not to lend money. A credit rating is a quantitative assessment of a borrower's creditworthiness in general or in relation to a specific debt or financial obligation.
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notice that the slope between points a and b is relatively flatter than it is between points c and d. what does the slope of a curve between two points have to do with the opportunity cost of producing additional units of a good
The slope of a curve between two points have to do with the opportunity cost of producing additional units of a good which shows all the combinations of two goods that can be produced with resources and technology.
The slope of the Production Possibilities Frontier (PPF) shows the opportunity cost of producing one good versus the other good, and also the opportunity cost can be compared to the opportunity costs of another producer in order to determine comparative advantage.
This also shows all the different combinations of output of two goods that can be produced while using available resources and technology. Thus, the PPF captures the concepts of choice, scarcity, and tradeoffs.
Hence, the shape of PPF depends upon whether there are increasing, decreasing, or constant costs.
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in the context of using information technologies for a competitive advantage, which statement is true of a bottom-line strategy?
It emphasizes increasing efficiency through lowering overall costs in the context of employing information technologies for a competitive advantage. of a bottom-line approach.
information technologies (IT) is the practice of creating, processing, storing, protecting, and exchanging all types of electronic data through the use of computers, storage, networking, and other physical hardware, software, infrastructure, and procedures. information technologies is typically employed in the context of commercial operations as opposed to personal or recreational use of technology. Both computer technology and telecommunications are included in the business usage of IT.
Information technology was first used by The Harvard Business Review to distinguish between specially constructed devices made to carry out a narrow range of jobs and general-purpose computer devices that could be configured to carry out a variety of tasks. When new technologies are developed, the cycle that began as the information technologies sector developed in the middle of the 20th century continues. Computing capability improved, while device cost and energy usage declined.
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a person with a history of a substance use disorder who desires to obtain or retain a license to practice nursing may be required to provide evidence that includes all of the following except: a. current sobriety and fitness to practice. b. 45 contact hours of continuing nursing education. c. attendance at alcoholics anonymous meetings d. positive employer evaluations.
A person with a history of substance use disorder who desires to obtain or retain a license to practice nursing may be required to provide evidence that includes all of the following except attendance at Alcoholics Anonymous meetings.
Answer no c is correct attendance at alcoholics' anonymous meetings.
A substance is a type of matter which is made up of specific composition. They possess specific properties and cannot be separated by physical processes into their chemical composition. For example - sugar and sodium chloride.
In general, an alcoholic is someone who suffers from alcoholism. Alcoholics Anonymous defines this as a physical compulsion, coupled with a mental obsession to consume alcohol, in which cravings for alcohol are always catered to, even at times when they should not be.
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what is the opportunity cost in this scenario? harry has been very busy at work for the past two weeks. he has been working weekends too. finally, he is going to get a weekend off. originally, he planned to paint his apartment that weekend. he also considered going fishing for the weekend. but then his parents called and asked him to come for dinner because it has been a while since they have seen each other. later on, his friend theo informed him about a surprise birthday party for another friend. theo plans to reserve a room at a restaurant for the celebration, with the cost to reserve the room split between theo, harry, and three other friends. now h
The three opportunities Harry misses out on as a result of choosing to visit his parents' home represent the opportunity cost in this circumstance.
What is an opportunity cost?According to microeconomic theory, an activity's opportunity cost is the amount or gain that is forfeited in exchange for participating in that activity as opposed to participating in an alternate occupation. Simply put, it means you forfeit the chance to engage in a different activity if you choose one activity (for instance, an investment). The activity that yields the highest return among all others, net of opportunity costs, is the one that is considered to be the ideal activity.
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In a mixed strategy? a. the payoffs are mixed during each round. b. the order of who chooses first is mixed. c. moves can be predicted. d. players try to avoid demonstrating a pattern.
In a mixed strategy players try to avoid demonstrating a pattern, Therefore, the correct option is D
Strategy
A strategy is a broad plan for achieving one or more long-term or overall goals in the face of uncertainty. In the sense of the "art of the general," which covered numerous subsets of talents such as military tactics, siegecraft, logistics, and so on. From then until the twentieth century, the term "strategy" grew to mean "a comprehensive means to try to attain political aims, including the threat or actual use of force, in a dialectic of wills" in a military battle involving both opponents.
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The market's reaction to the announcement of a change in the firm's dividend payout is likely the?
The market's reaction to the announcement of a change in the firm's dividend payout is likely the information content effect.
A market is a composition of structures, institutions, methods, social relations or infrastructures whereby events interact in exchange. at the same time as parties may also change items and offerings through barter, most markets rely upon sellers presenting their goods or offerings to consumers in alternate for money.
Market structure refers to how one-of-a-kind industries are labeled and differentiated based totally on their degree and nature of competition for services and goods. The four popular varieties of market systems consist of perfect opposition, oligopoly marketplace, monopoly market, and monopolistic opposition.
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margot company purchases $100,000 face amount, 6% semi-annual bonds for $110,000 when the market interest rate is 5%. the journal entry to record the interest for the first 6-month period includes (select all that apply.) multiple select question. debit cash $2,750 debit cash $3,000 debit discount on bond investment $250 credit interest revenue $2,750 credit interest revenue $3,000 credit premium on bond investment $250
The journal entry to record the interest for the first 6-month period includes:
debit cash $3,000
credit interest revenue $2,750
credit premium on bond investment $250
Where the bonds issued at premium or discount?
The bond face value was $100,000, but were issued at $110,000 which means the issue price was $10,000 more than the face value, hence, at the end of each semiannual period we mean to record amortization of bond premium.
interest for the first 6-month period=issue price*market interest rate/2
issue price=$110,000
market interest rate=5%
interest for the first 6-month period=$110,000*5%/2
interest for the first 6-month period=$2,750
semiannual coupon payment=face value*coupon rate/2
semiannual coupon payment=$100,000*6%/2
semiannual coupon payment=$3,000
bond premium amortization=semiannual coupon-interest for the first 6-month period
bond premium amortization=$3,000-$2,750
bond premium amortization=$250
The appropriate journal entries is to debit cash with $3,000 such that the interest expense and premium bond investment are credited respectively
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which of the following factors contribute to economic growth? an increase in population. an increase in population. an increase in the standard of living. an increase in the standard of living. a decrease in the productivity of labor. a decrease in the productivity of labor. an increase in capital depreciation
An increase in the proportion of the population that is college educated is the major factor that contribute to economic growth .
What is Economic Growth ?
While comparing one period of time to another, economic growth is a rise in the production of economic commodities and services. It can be calculated in nominal or real (inflation-adjusted) terms. Although other metrics are also employed, gross national product (GNP) or gross domestic product (GDP) are the most common ways to quantify overall economic growth.
Economic growth, in its most basic form, is an increase in the economy's total output. Gains in overall production frequently, but not always, correlate with higher average marginal productivity. As a result, there is a gain in income, which encourages people to spend more money on goods and services, raising the standard of living or quality of life in tangible terms.
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of the following examples, which one has little or no effect on labor productivity? the quality and quantity of available capital resources. the quality and quantity of available capital resources. technological change. technological change. the frequency of business cycles.
of the following examples, which one has little or no effect on labor productivity? the quality and quantity of available capital resources. the quality and quantity of available capital resources. technological change. technological change The frequency of business cycle.
Business cycles are essentially identified by the comovement of economic variables during each cycle phase and the alternating of phases of growth and contraction in overall economic activity. Real (i.e., inflation-adjusted) GDP, which measures aggregate output, as well as aggregate measures of industrial production, employment, income, and sales, which are the main coincident economic indicators used for the official determination of U.S. business cycle peak and trough dates, all represent aggregate economic activity. One common misunderstanding is that a recession is merely two quarters of real GDP drop. Notably, the real GDP fell in two successive quarters during neither the 1960–1961 nor the 2001 recessions.
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Suppose you borrowed $14,000 at a rate of 10.0 nd must repay it in 5 equal installments at the end of each of the next 5 years. how much interest would you have to pay in the first year?
The interest paid for the first year is 4.761%.
Interest is defined as the amount of money paid for the use of someone else's money. An example of interest is the $20 that was earned this year on your savings account. An example of interest is the $2000 you paid in interest this year on your home loan.
I=PRT
I=interest
P=principal=amount you invested
The rate in decimal, don't forget to convert percent to decimal
T=time in YEARS (don't forget, 12 months per year)
5000 total
5000-4200=800
I=800
800=4200*r*4
800=16800*r
divide both sides by 16800
0.04761=r
4.761%=rate needed
6>4.7
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which of the following are non-technical skills not commonly associated with an effective information system worker?
Non-technical skills not commonly associated with an effective Information system worker is- ability to work in a static, boring environment with little variation.
A formal, sociotechnical, organizational system designed to collect, process, store, and distribute information is known as an information system (IS). Information systems are made up of four components from a sociotechnical standpoint: task, people, structure (or roles), and technology. Information systems are defined as an integration of components for data collection, storage, and processing, with the data used to provide information, contribute to knowledge, and create digital products that aid decision making.
Any given information system is designed to aid in operations, management, and decision-making. An information system is an organization's use of information and communication technology (ICT), as well as how people interact with this technology to support business processes.
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the allocation of resources in a market economy is described by which of the following statements?
The allocation of resources in a market economy is described by Buyers and sellers exchanging goods and services on a voluntary basis. Prices and costs help producers decide whether they are producing too little or too much of a good.
A market is a place in which shoppers and sellers can meet to facilitate the change or transaction of services and products. Markets may be physical like retail outlets, or virtual like an e-save. particular examples encompass unlawful markets, public sale markets, and monetary markets.
The monetary market is a place structure that can be grouped into 4 categories: opposition, monopolistic opposition, oligopoly, and monopoly. The 5 primary marketplace device kinds are the best competition, Monopoly, Oligopoly, Monopolistic opposition, and Monopsony.
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Explain why many seniors often earn lower grades in their last semester before graduation. (hint: this is an incentive problem.)
Often, Seniors get poor grades because they no longer want to be in high school and (more importantly) they are already accepted into colleges.
Colleges could threaten to take away scholarships and even acceptance if they don't get grades. They have no motivation besides self-achievement.
What's self-achievement.?
Self-achievement needs, to overcome one's own limits and area oneself in a extraordinary-person angle, to be a part of the world.
Why is self-achievement vital?
Research have proven that feeling a experience of feat is an critical element in college students developing fantastic health over time. Research additionally indicates the following: people with a sturdy feel of motive, staying power and accomplishment perform higher at paintings.
How do you write a self-achievement?
. Apprehend the usage of self-appraisal.
. Highlight your accomplishments.
. Accumulate statistics to show off your achievements.
. Align yourself with the crew and agency.
. Reflect objectively on challenges.
. Ask for increase opportunities.
. Ask for anything you need to improve.
. Get a second opinion.
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______________ provide both positive and potentially negative information to job candidates.
Realistic job previews present prospective hopefuls with both positive and potentially negative information.
Understanding Negative Information:
Negative information includes loan and credit card late payments, delinquent accounts, charge-offs, accounts sent to collection, bankruptcies, short sales, deeds in lieu of foreclosure, and foreclosures. While not legally considered negative information, certain sorts of inquiries might have a detrimental impact on your credit score. There are two kinds of questions: harsh and soft. A hard inquiry occurs when a lender or other business investigates your credit as part of the process of deciding whether or not to approve your loan or credit request.
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The desired outcomes of training programs are formally stated as? training goals. learning objectives. instructional objectives. learning goals
The desired outcomes of training programs are formally stated as instructional objectives.
What is meant by instructional objectives.?This is the term that is sued to refer to the objectives that the given instructions that people have received tends to meet. This is the aim of the instruction. They are the behaviors that are to be enforced from the completion of instruction. The people receiving the instruction are the ones that would be used to judge if it met with its objective.
Hence we can say that the desired outcomes of training programs are formally stated as instructional objectives.
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the adjusting entry required when amounts previously recorded as deferred revenues are recognized includes a:multiple choice
The adjusting entry required when amounts previously recorded as deferred revenues are recognized includes a debit to a liability.
Revenue is the entire amount of profits generated with the aid of the sale of products or services related to the organization's number one operations. revenue, also called gross income, is regularly known as the "top line" as it sits on the top of the income statement. profits, or net income, is a business enterprise's overall earnings or earnings.
Regularly the term earnings are used in place of revenues. Examples of revenue debts include sales, service revenues, expenses Earned, interest revenue, and hobby income. revenue money owed is credited when offerings are finished/billed and therefore will typically have credit score balances.
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ticker services began operations in year 1 and holds long-term investments in available-for-sale debt securities. the year-end costs and fair values for its portfolio of these investments follow. portfolio of available-for-sale securities cost fair value december 31, year 1 $ 12,600 $ 16,500 december 31, year 2 17,900 26,100 december 31, year 3 21,300 32,600 december 31, year 4 15,300 20,600
The journal entries will be as follows:
31 December Year 1
Debit: Unrealised loss - equity $3,900
Credit: Fair value (FV) adjustment AFS (Long Term investment - LT) $3,900
31 December Year 2
Debit: FV adjustment - AFS (LT) $12,100
Credit: Unrealised loss - equity $3,900
Credit: Unrealised gain - equity $8,200
31 December Year 3
Debit: FV adjustment - AFS (LT) $3,100
Credit: Unrealised gain - equity $3,100
31 December Year 4
Debit: Unrealised gain - equity $11,300
Debit: Unrealised loss - equity $ 5,300
Credit: Fair value adjustment - AFS (LT) $16,600
31 December Year 1: Record FV of securities ($16,500 - $12,600) = $3,900 - FV loss
31 December Year 2 : Record FV of securities, FV adjustment - AFS (LT) = $26,100 - $17,900 = $8,200 net gain ($3,900 prior year loss + $8,200 current year gain)
31 December Year 3: Record FV of securities: FV adjustment - AFS (LT) - $32,600 - $21,300 = $11,300 net gain (current year gain $11,300 - $8,200 prior gain)
31 December Year 4 : Record FV of securities: FV adjustment - AFS (LT) = $20,600 - $15,300 = $5,300 net loss ($11,300 prior year gain + $5,300 current year loss)
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Because all residents of miniville shop at the store located closest to their homes, the optimal location for the first store to open in miniville is?
There is no single optimal location for the first store.
How a location is determined?We must first have a precise location in order to establish the location. To use the location, we use geographic latitude and longitude.
The latitude is the angle at which a specific site is measured between the equator and the poles. It is 0 degrees at the equator and 90 degrees at the poles. From the equator to the North Pole, the latitude can be either north or south, with values ranging from 0° to 90°. The latitude is south from the equator to the South Pole and ranges in value from 0° to 90°.
The Length is the angle that separates a particular point's location from the prime meridian to the east or west. The value of the prime meridian is 0 degrees. The geographic length reaches its maximum value of 180 degrees to the east. 180 degrees in the east and 180 degrees in the west add up to 360 degrees or a full circle. There are 180° meridians in contrast to the grin. On both the east and west sides of the planet, they live side by side.
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why do project managers have to be aware of organizational culture to help guide a project to success? multiple select question. to be able to interact with diverse departments to establish control and authority on projects to be able to interact with external stakeholders
The answer to the given question is to be able to interact with external stakeholders and to be able to interact with diverse departments.
In an organizational setting, shared values, goals, and behaviors define the culture. An organization's decisions, the direction of its actions toward those goals, and the modeling of individual behavior inside the organization are all influenced by its strong culture. These persistent cultures and beliefs give an organization stability and direction. However, culture is like a two-edged sword, which may both stimulate actions toward the aims and objectives and destroy the company by fostering a toxic competitive spirit. Project managers who lack an understanding of local values and cultures are hindered and constrained. Therefore, in order to help a project achieve its intended goal and go on to succeed, a project manager must be knowledgeable of corporate culture.
Therefore, the ultimate answer is The ability to communicate with a variety of departments and external stakeholders
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click and drag on elements in order place in order from first to last the steps in the devil's advocacy decision framework. (place the first step at the top.)
In order from first to last, the steps in the devil's advocacy decision framework are given below.
The Devil's Advocate approach is an age-old method for constructing the strongest possible case opposing a proposed plan, judgment, or decision.
This is a popular tool for challenging fixed 'mindsets' or established 'group thinking.'
Step 1: Define the intended plan, judgment, or decision clearly.Step 2: Keep in mind that the individual playing the Devil's Advocate is playing a part. Personal opinions are not permitted in this role-playing exercise.Step 3: Go over all of the evidence. Was any contradicting information ignored? Could the data be utilized to support a different conclusion?Step 4: Is there any missing data? Was any unusual data ignored? Are there any information gaps?Step 5: Put crucial assumptions to the test. Have you identified all of the assumptions? What effect would it have if they were not valid?Step 6: Determine the sources of uncertainty.Step 7: Examine the analytical techniques that were employed to achieve the conclusion. Is it prone to any common analytical blunders? (2006, Psychology of Intelligence Analysis)Step 8: Did the supporting arguments contain any flawed logic?Step 9: Was causality and correlation mixed up?Step 10: Reassess your confidence in your initial conclusion.Hence, In order from first to last, the steps in the devil's advocacy decision framework are given above.
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the unemployment of some groups, such as low-skill workers, may increase as a result of the imposition of a minimum wage.
The given statement is true. The unemployment of some groups, such as low-skill workers, may grow as a result of the imposition of a lowest wage.
What factors contribute to unemployment?When the economy is operating below capacity, demand-deficient unemployment occurs. For instance, during a recession, aggregate demand (AD) will decrease, which will cause output to decline and economic growth to be negative. Companies will hire fewer employees as a result of a decline in output because they are creating fewer things. The OECD defines unemployment as those over a certain age who are currently available for work but are not currently employed or self-employed. The number of jobless persons as a percentage of the labor force is used to calculate the unemployment rate, which is used to calculate the level of unemployment.
The complete question is:
The unemployment of some groups, such as low skill workers, may increase as a result of the imposition of a minimum wage. (True/False)?
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Opportunities for children to decode the causes of emotions occur when they ______.
Opportunities for children to decode the causes of emotions occur when they interact with siblings.
The capacity of your youngster to comprehend and control emotions grows throughout time. Your young kid will require assistance in understanding emotions. The main focus of this is on identifying and labelling emotions, which paves the way for controlling emotions when your kid becomes older.Why are kids' emotions significant?"Children who comprehend and express emotions more readily have higher social and empathic abilities, which can aid in relationship development. even do better in the classroom. Children are taught which emotions are allowed to express and how to do so even before they start school.To Learn more about emotions of children, click the links.
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allocated common costs are blank avoidable and/or relevant to a decision. multiple choice question. always sometimes
Allocated common costs are sometimes relevant to a decision
Cost allocation is the process by which organizations and people determine the expenses incurred by an activity and allocate them to the proper accounts. This makes it easier to decide how much money should be allocated to various company segments.
Various costs must be taken into account while allocating costs. They consist of:
1. fixed prices- No matter how many units of the production have been created or sold, these costs are constant.
2. variable expenses - These costs, which include the raw materials used to create products, are based on the volume of production or sales during a specific time period
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when the property being appraised is a one-unit property that will be used as an investment property, fannie mae requires that the appraiser must prepare a
the property being appraised is a one-unit property that will be used as an investment property, Fannie Mae requires that the appraiser must prepare a Form 1004, Form 1007.
Although Grounding has always been a unit of property that is available, it has never been linked as a unit that is compatible with Retirement in the job management system. Property Unit The AICPA advises giving an example to demonstrate how a taxpayer might be able to consider all section 1250 leasehold improvements that are a component of the same building as a single unit of property (or "UOP").
The Board of Directors approves the annual disposal of physical assets after an inventory is completed. Workshop Report: Meaningful Engagement of Indigenous Peoples and Communities in Marine Activities (MEMA), September 17, 2016, Brunswick, Maine, Bowdoin College.
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Alistar inc. recently issued $75 par value preferred stock that pays an 8 ividend rate per year. if the stock is currently selling for $83, what is the expected return of this preferred stock?
The expected return of this preferred stock: 7.23%
Calculate the return at the inventory as follows:
go back on inventory = dividend/fee
= ($75*8%)/$eighty three
= $6 / $83
= 7.23%
Preferred stock is a component of share capital that can have any aggregate of functions not possessed with the aid of commonplace inventory, such as residences of both fairness and a debt instrument, and is typically considered a hybrid tool.
Preferred stock is a form of inventory that has characteristics of each share and bond. Like bonds, desired shares make cash payouts, frequently at a better yield than bonds, at the same time as imparting higher dividend returns and much less threat than not unusual inventory. Preferreds are issued with a hard and fast par cost and pay dividends based on a percentage of that par, usually at a hard and fast fee. much like bonds, which also make fixed bills, the market fee of desired stocks is touchy to modifications in hobby prices. If interest fees rise, the value of the desired shares falls.
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which of the following is the primary criterion for the preparation of managerial accounting reports?
The main criterion for the preparation of managerial accounting reports is that such reports are designed to meet the specific need of the management of the company.
What are management accounting reports?Correspond to documents that provide relevant information about the financial situation of a company in a period, that is, these documents display the accounting records associated with the period's profitability, transactions, costs, revenues, cash flows, etc.
Accounting management reports help in managerial decision-making, by giving the manager subsidies to know the real situation of the company in a period, identifying its strengths and weaknesses in the market, being able to establish greater control, organization and strategic correction to achieve the objectives.
Therefore, management reports are instruments of organization, control and management coordination that help in more focused and effective financial decisions.
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An economy has a monetary base of 1,000 $1 bills. calculate the money supply in scenarios a - d. then answer part e.
a) If all money is held as currency, the money supply is $1,000.
b) If banks hold 100% of deposits as reserves, the money supply is $0.
c) If all money is held as demand deposits, the money supply is $1,000.
d) If banks hold 20% of deposits as reserves, the money supply is $5,000.
e) If the central bank decides to increase the money supply by 10%, the money supply is $1,100.
What is the money supply?The money supply is the total amount of a nation's currency circulating in the economy at a specific time.
The money supply is made up currency in the hands of the public and demand deposits in financial institutions.
Data and Calculations:Monetary base = 1,000 of $1 bills
a) If all money is held as currency, the money supply is $1,000 ($1 x 1,000).
b) If banks hold 100% of deposits as reserves, the money supply is $0.
c) If all money is held as demand deposits, the money supply is $1,000 ($1,000 + 0).
d) If banks hold 20% of deposits as reserves, the money supply is $5,000 ($1,000/20%).
e) If the central bank decides to increase the money supply by 10%, the money supply is $1,100 ($1,000 x 1.1).
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Question Completion:a. All money is held as currency
b. Banks hold 100 percent of deposits as reserves.
c. All money is held as demand deposits.
d. Banks hold 20 percent of deposits as reserves.
e. The central bank decides to increase the money supply by 10 percent.