Suppose that the required reserve ratio is 10 percent and you withdraw $25,000 from Comerica Bank.

What is the deposit multiplier?
What is the total decrease in deposits in the banking system?
What is the change in the money supply?

Answers

Answer 1

The deposit multiplier is 10, the total decrease in deposits in the banking system is-$250,000 and the change in the money supply is -$225,000.

Money multiplier

a. Money multiplier:

Money multiplier= 1/Required reserve ratio

Money multiplier= 1/0.10

Money multiplier= 10

b. Change in deposit:

Change in deposit=10×-$25,000

Change in deposit=-$250,000

c. Change in money supply:

Change in money supply=-$250,000+$25,000

Change in money supply=-$225,000

Therefore the deposit multiplier is 10, the total decrease in deposits in the banking system is-$250,000 and the change in the money supply is -$225,000.

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Related Questions

“Automation is bad for the economy because machines will eventually replace almost all human workers, creating high unemployment and poverty”. Do you agree or disagree? Explain your answer.

Answers

I agree that Automation is bad for the economy because machines will eventually replace almost all human workers, creating high unemployment and poverty”.

What is automation?

Automation involves the using of machines and computer in getting task done, and this reduce man power.

In this case, Automation is bad for the economy because machines will eventually replace almost all human workers.

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How can business apply force field technique in the workplace

Answers

Companies can apply the force field technique in the workplace by establishing a method of observing the factors that drive or block the achievement of goals.

How is the force field technique effective in the workplace?

It helps in the identification and more comprehensive analysis of the organizational environment and its processes, helping in decision making and in the strategic formulation to reduce bottlenecks and obtain quality.

Therefore, the force field technique helps in the effectiveness of processes, develops communication, reduces resistance to change in addition to creating a positive culture for development.

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which one company is the best one you wish to invest for next 3 decades, based on its management, product or business model, financial condition(with low debt), consistent past and potential earning?

Answers

The company that is the best one that i wish to invest for next 3 decades, based on its management, product or business model, financial condition(with low debt), consistent past and potential earning is Tesla.

What is Tesla's management structure?

In terms of management Tesla is seen to be one that uses a functional organizational structure that has a lot of hierarchical structure.

Tesla is one that uses  functional centers that is said to be covered in all scope of all their business activities, such as finance, sales, marketing, technology, and it is one that is well structure.

In terms of profit and revenue, Tesla was said to have generated in the first Quarter of 2022 a revenues of about $17.76 billion, and also that of $2.26 in earnings per share and this is one I believe I can invest in.

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What enables a oligopoly to form within a market

Answers

It would be too costly to launch a competing business To establish Oligopoly in the market.

What is a market?

The entire number of buyers and sellers in the area or region under consideration is referred to as the market.

A market structure known as an oligopoly has a small number of enterprises, none of which can prevent the others from having a large impact.

The market share of the major companies is calculated using the concentration ratio.

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Identify the "3" laws, rules, and regulations in law of business

Answers

The antitrust law is the set of federal and state laws whose purpose is to regulate the conduct of companies in order to establish rules for legal business practice and regulation on securities.

What is business law?

It corresponds to the set of laws, rules and regulations that apply to the corporate environment, establishing the responsibility of companies and their workers, their rights and duties in order to build an ethical and positive  market for business development.

Therefore, business law is essential for the maintenance of legality and ethics in a competitive business environment, instituting protection in several important areas, such as socio-environmental responsibility and workers' rights.

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In the scor model, purchasing is represented by

Answers

A leverage by is one where there is.

If you we’re running a company describe at least two things you would do to improve its productivity

Answers

Answer:

1. Have standing meeting.2.Create the ultimate break room.

Q5) which one company is the best one you wish to invest for next 3 decades, based on its management, product or business model, financial condition(with low debt), consistent past and potential earning?

Answers

Tesla  is the company is the best one people wish to invest for next 3 decades, based on its management, product or business model, financial condition, consistent past and potential earning.

What is the management structure of Tesla?

According to management experts, Tesla is one company that has a practical organizational structure with a lot of hierarchical structure.

Tesla is a company that is reported to use functional centers that are well-structured and cover all aspect of their business operations, including finance, sales, marketing, and technology.

Thus, the company is Tesla.

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Question 11 of 20
Which statement describes why you should start retirement planning early?
A. Your income will increase, while your expenses will decrease.
B. Your income will decrease, while your expenses will stay the
same.
C. Your income will increase, while your expenses will stay the same.
D. Your income will decrease, while your expenses will increase.
SUBMIT

Answers

Answer:

your income will decrease, while your expenses will increase.

How to compute the total economic profit or loss in the given table?​

Answers

Getting the sums of the Total revenues (TR) and subtracting the Total Cost (TC) from it will allow to derive the total economic profit or loss in the given table.

What is an economic profit?

This refers to the difference between the company's total revenue and the sum of its explicit and implicit costs.

In this case, the total economic profit or loss in the given table will be derived by adding the sums of the Total revenues (TR) and subtract the Total Cost (TC) from it.

Therefore, the economic profit or loss will be determined.

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tying financial models to strategies of a business helps generate more insightful analyses

Answers

Tying financial models to strategies of a business helps generate more insightful analyses. Therefore, it's true.

What is a financial model?

It should be noted that financial modelling is the representation of a company's operations to achieve a desired goal.

In this case, tying financial models to strategies of a business helps generate more insightful analyses. Therefore, it's true.

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Select all that apply.
Select each of the benefits of being financially responsible.
having more opportunities
earning more money
paying higher interest rates for loans
having a good credit score
being rejected for loans
being prepared for emergencies
paying lower interest rates on credit cards
gaining independence

Answers

Answer:

having more opportunities

earning more money

having a good credit score

being prepared for emergencies

paying lower interest rates on credit cards

gaining independence

Explanation:

if you need more information about how to complete step 2 of the w-4 form, where can you find it?​

Answers

Answer:

cosette.

Explanation:

When a person need more information about how to complete step 2 of the w-4 form, the right sources are:

Visit the Department of the Treasury Internal Revenue Service website.InvestopidiaNerdwallet websiteAsk IRS officialsPayroll Admin

What is the W-4 form?

The W-4 form is known to be a form that informs the employer the right amount of tax to take back from an employee's salary or paycheck.

Note that this Form is  used by an employer to know an employee's identity and as such, When a person need more information about how to complete step 2 of the w-4 form, the right sources are:

Visit the Department of the Treasury Internal Revenue Service website.InvestopidiaNerdwallet websiteAsk IRS officials

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Identify which of the following are primary activities and which are support activities in a value chain.

Answers

Answer: Marketing and sales and service

Explanation:

What is the answer to this question

Answers

According to the context, it can be inferred that the word that correctly completes the sentence is reaction (option C).

How to identify the missing word of the fragment?

To identify the missing word of the fragment we must take into account the context, in this case it speaks of the 2020 pandemic in which many people were affected by not being able to work and required the help of others.

In this case, the retailers had a reactive attitude towards this situation because they decided to donate in response to the problems that the pandemic unleashed with the neediest people.

Note: The question is not readable in the image. Next is the question.

Some retailers have decided during COV.ID to donate a percentage of sales to programs that support those in need, such as food banks. These businesses could be said to have a _______ approach of social responsiveness during this per.iod.

OPTIONS:

ObstructionObligationReactionInvolvement

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Question 23
Investment gains earned during an initial time period are then put to work in the second time period earning additional
investment returns. What is this called?
A) Debt
B) Principal
C) Interest
(D) Compound growth
Questions Filter (40)
K First < Previous
4.75 Points
Next > Last >
Continue

Answers

The concept of reinvesting investment gains is called compound growth.

What is compound growth?

Compound growth is when both the amount invested and the investment gains already accrued increase in value because both amount are reinvested back in the venture. Compound growth ensures a faster growth in investment returns when compared with not reinvesting investment gains.

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Disadvantages of the matrix organization structure are efficient use of resources because of ease of access efficient communication easy to manage difficult to manage Disadvantages of the matrix organization structure are efficient use of resources because of ease of access efficient communication easy to manage difficult to manage​

Answers

Difficulty in terms of management of an organization as there is the involvement of overlapping teams, more information, and multiple managers is one of the major disadvantages of matrix organization structure.

What is matrix organization structure?

A combination of or greater varieties of organizational structures is referred to as a matrix structure. It is a manner of arranging your enterprise so you set up reporting relationships as a grid, or a matrix, in preference to in the conventional hierarchy.

hence, Difficulty in terms of management of an organization as there is the involvement of overlapping teams, more information, and multiple managers is one of the major disadvantages of matrix organization structure.

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Do the balance sheet in sheet and share the link

Answers

A firm's balance sheet shows the state of its affairs and financial position at a point in time by giving a snapshot of its assets, liabilities, and equity.

According to the accounting equation, the sum of liabilities and equity gives the total assets, in this case, the equity amount is missing, as a result, we can rearrange the equation to solve for equity

total assets=total liabilities+ equity

equity=total assets-total liabilities

Find attached balance sheet in excel form as well as the formula sheet.

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Why you should be flexible when using a different email system?

Answers

The person should be flexible in using the email system in order to increase the productivity, to improve security and to enhance competitiveness.

What is Email System?

The full form of Email is electronic mail which refers to the sending the messages through the use of computer and receiving it. It is an application of the messaging system.

Through the flexibility in the application of the email system the users can enhance the competition by using the new technology. It also increases the productivity as the knowledge of the different email system provides various features to the users.

It also helps in securing the data and important information from the  phishing attack.

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Carlos is 25 years old and has $3000 he wants to invest. He doesn’t want to risk losing a lot of money, so he is looking for a low-risk investment. He wants to invest for five years, and then he will need his money back (plus the interest he earns.) What is the BEST investment choice for Carlos?

Answers

The best place where Carlos can invest his money in a low-risk investment would be to buy some shares.

What is an Investment?

This refers to the business plan that is made to put some money into a business venture with the aim of getting profit after a time period.

Hence, we can see that based on the fact that Carlos is young and has about $3,000 to put in a low-risk investment, it would be good for him to buy shares in a reputable company and get his money back with interest after some years.

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Which investment option has the highest risk ?

Answers

Buying is the highest risk investment because the outcome is unknown and you have to take a gamble.

In which (management) areas of an organization may ethically relevant questions occur? Give examples for each of them!

Answers

The management area of coordinating and directing from the top hierarchies is the where some ethically relevant questions may occur.

What is an Ethics?

This refers to some standards that imposes a reasonable obligations to refrain from fraud, slander, gossip etc in a firm.

Some example of an ethical behaviors in the firm are:

obeying company's ruleseffective communicationaccountability & professionalismtrust and mutual respect

Hence, the management area of coordinating and directing from the top hierarchies is the where some ethically relevant questions may occur.

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After a different vice president is assigned to head the division for the second time in five years, Maria’s job as a middle manager does not really change. She carries out the same tasks, attends the same meetings, and sends in the same reports to the new vice president as she always does. What can be accurately determined about this organization?

Answers

The thing that can be accurately told about the organization is that  high authority is not much responsible, and they do not consider the eligible candidate for promotion in the company.

What is promotion?

Promotion is the upgrade of the post from the low profile than before the person get the promotion is upgraded into a new profile that they are eligible for. Promotion also gives the encouragement and motivation to the people.

Thus, organization is that  high authority is not much responsible.

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The weight of toys a toddler owns has a population mean of 15.8kg and a population standard deviation of 4.2kg. What is the probability a toy store owner could select a sample of 49 toddlers and find the sample mean to be

Answers

The sample mean is most likely going to be  15.8kg because the population mean,, is proven by statistics to be equal to the mean of the sample distribution of x. This is further explained below.

What is sample mean?

Generally, Since the population mean,, is statistically shown to be equal to the mean of the sample distribution of x, we can confidently predict that the sample mean will be 15.8kg.

In conclusion, The mean of a group of data points. The sample mean is a useful statistic for computing the central tendency, standard deviation, and variance of a data collection.

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How can information be a powerfull tool in negatiation or breaking a deal

Answers

Negotiators must decide to disclose or retain information as it could lead to a beneficial outcome or reveal one's vulnerabilities . Information exchange is a fundamental part of negotiation and it is a negotiator's strength and weakness.

What is small business development

Answers

Answer:

Explanation:

Small Business Development Centers (SBDCs) provide business-related assistance and knowledge to help entrepreneurs start, run, and grow their businesses.

AANG companies are Monopoly?

Answers

It is a false statement that the AANG companies are Monopoly in their industry.

What is a Monopoly?

This refers to an exclusive possession/control of the supply or trading in a commodity or service.

As the AANG companies produces face mask, sanitizer, soap & toothpaste etc, then, it operates in a free market will other firm.

Therefore, It is a false statement that the AANG companies are Monopoly in their industry.

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How does multi party system works

Answers

Answer:

In multi-party systems that use proportional representation, each party wins a number of legislative seats proportional to the number of votes it receives. Under first-past-the-post, the electorate is divided into a number of districts, each of which selects one person to fill one seat by a plurality of the vote.

Answer:

Multi-Party System is formed  If several parties compete for power and more than two parties have a reasonable chance of coming to power either on their own strength or in alliance with others.

This system is able to represent diverse contestants  and regions.

If the price of natural gas rises , when is the price elasticity of demand likely to be the highest?

Answers

If the price of natural gas rises, the price elasticity of demand is likely to be the highest one year after the price increase.

What is the price elasticity of demand?

A measure of a product's consumption shift in response to a price change is called price elasticity of demand. The quantity shift in percentage terms divided by the price change in percentage terms is used to determine the price elasticity of demand.

The price elasticity of demand would probably be at its peak if the price of natural gas increased. Elasticity will be strongest in the long run since consumers would start exploring alternatives as a result of ongoing price increases.

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Help solve the blanks

Answers

Here is the completed table:

Labor    Total Product   Marginal Product  Average Product

0               0                      N / A                       N / A

1               10                       10                            10

2              25                         15                             12.50

3              45                        20                              15

4              63                         18                              15.75

5              75                          12                             15

6             80                            5                              13.3

7              80                          0                               13.3

8              68                         - 12                               8.50

How to determine the total product, marginal product and average product?

The total product is determined by multiplying the average product by the number of labor. Total product of a labor can also be determined by adding the marginal product of that labor with the total product of the preceding total labor.

Blank 1 : 10 x 1 = 10

Blank 5: 25 + 20 = 45

Blank 7: 15.75 x 4 = 63

Blank 9: 63 + 12 = 75

Blank 13: 80 + 0 = 80

Blank 15: 8.50 x 8 = 68

Marginal product is the change in total product when labor is increased by 1.

Blank 2 : 10 - 0 = 10

Blank 3 : 25 - 10 = 15

Blank 8: 63 - 45 = 18

Blank 11: 80 - 75 = 5

Blank 16: 68 - 80 = - 12

Average product is the total labor divided by the total labor.

Blank 4: 25 / 2 = 12.50

Blank 6: 45 / 3 = 15

Blank 10: 75 / 5 = 12

Blank 12: 80 / 6 = 13.33

Blank 14 : 68 / 8 = 8.50

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