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Suppose Fred deposits $8,000 in cash into his checking account at the Bank of Bonzo. The Bank of Bonzo has no excess reserves and is subject to a 5 percent required reserve ratio.
a. Show this transaction in a T-account for the Bank of Bonzo.
b. Assume the Bank of Bonzo makes the maximum loan possible from Fred's deposit to Clarice and show this transaction in a new T-account.
The World Bank is currently advising newly industrialized nations on how to increase growth and they have asked for your help.
what aspects of your decison-making process fit the description of a rational choice. did you consider costs and benifits?
The maintenance for a bus, whose life is 10 years, is $1500 per year starting the fourth year, increasing by $200 for each successive year. The interest rate is 5% per year. What is the present worth of maintenance cost?
Why might a firm charged with violating the Clayton Act, Section 7, try arguing that the products sold by the merged firms are in seperate markets. Why might a firm charged with violating Section 2 of the Sherman Act try convincing the court that ..
Difference between average total costs and average variable costs and the avenge fixed cost of producing 10 units of output
Recently, students in a marketing research class were interested in the driving behavior of students. Specifically, the marketing students were interested if exceeding the speed limit was related to social activity.
Use an appropriate diagram, demonstrate and describe briefly how a increase in minimum wage could result in higher employment in a monopolistic labor market.
Frank owns a soda fountain and sells milkshakes. He sells 50 a day at $5 each. His daily cost is $290, of which $30 is fixed cost. What can you say about Frank's short run decision regarding shutdown and his long-run decision regarding exit?
Provide an examples of how each industry practices price discrimination. What are the short and long term strategic reasons these industries employ tiered pricing.
1.)What major business cycle facts does the RBC theory explain successfully? Does it explain any business cycle facts less well? 2.)How would governmental expansionary policy affect the economy according to both theories (classical and Keynesian)? ..
The farmer initially grows 1,057 acres of wheat and 0 acres of corn. Suppose the price of corn increases by $102 per acre harvested and how much does the farmer's revenue change by if she continues to grow wheat even after the price of corn increas..
A purely competitive firm finds that the market price for its product is $20. It has a fixed cost of $100 and a variable cost of $10 per unit for the first 50 units and then $25 per unit for all succcessive units. Does price exceed average variable c..
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