Dan signs a check payable to Eagle Investors, Inc., and gives it to Eagle, leaving the amount blank but authorizing Eagle to fill in the check for $1,000. Eagle fills in $1,500 and negotiates the check to First State Bank, to whom Eagle owes $1,500. First State, an HDC, can enforce the check for:

Answers

Answer 1

Answer:

$1,500

Explanation:

Based on the information given we were told that Eagle fills in the amount of $1,500 instead of the amount of $1,000 which Dan authorize Eagle to fill in which they went ahead to as well negotiates the check payable to First State Bank because Eagle owes First State Bank the amount of $1,500 which means that First State Bank which is an HDC, can enforce the check for the amount of $1,500 which was negotiated by Eagle to First State Bank.

Therefore First State, an HDC, can enforce the check for: $1,500


Related Questions

10. Do you think engaging in organic farming is an example of corporate citizenship? Why?

Answers

Answer:

The global population is growing rapidly causing a rise in demand for sustainable food production.

Explanation:

Bigelow has a levered cost of equity of 14.29% and a pretax cost of debt of 7.23%. The required return on the assets is 11%. What is the firm's debt-equity ratio based on MM Proposition II with no taxes?

Answers

Answer:

0.873

Explanation:

Given that

Cost of equity, RS = 14.29% = 0.1429

Required return on assets = 11% = 0.11

Cost of debt = 7.23% = 0.0723

Then we can calculate the firm's debt equity ratio by using the relation

0.1429 = 0.11 + B/S(0.11 - 0.0723)

0.1429 = 0.11 + B/S(0.0377)

B/S(0.0377) = 0.1429 - 0.11

B/S(0.0377) = 0.0329

B/S = 0.0329 / 0.0377

B/S = 0.873

Therefore, the debt equity ratio is 0.873

Costco is an example of _______ warehouse. Group of answer choices Hub and spoke system Assortment Spot stock Break bulk

Answers

Answer:

Hub and spoke system

Explanation:

Costco Wholesale Corporation is a company that operates in the warehouse industry. They store merchandise at a lower cost than other wholesale or retail sources.

They aim to reduce warehousing cost for small and medium scale businesses.

In the hub and spoke system each component of the warehousing system are independent and contribute to the central warehousing activity.

It is also called the master feeder structure.

Freight traffic is moved to the central hub through spokes that are arranged around the centre like a wheel.

This system reduces the travel time and therefore is more efficient with lower cost

The goal is a fast delivery process, ideally requiring little manual effort. What is one capability used to achieve this?

a. Soft launches
b. Nonfunctional requirements
c. Quiet releases
d. Feature toggles

Answers

Answer: D. Feature toggles

Explanation:

Feature toggles allows one to be able to either turn a code on or off without needing a deploy.

Feature toggles being about a fast delivery process, ideally requiring little manual effort.

Feature toggles are usually used by engineering teams for continuous deployment and canary releases.

Term that express the capability which involves a goal of having a fast delivery process, with a little manual effort required is D: Feature toggles.

When one is trying to acheive a goal of having a fast delivery process, Feature toggles would be the best option to go for Feature toggle can be regarded as a mechanism that helps the code to be turned “on” or “off”.

Thus can be done remotely, and there is no need for deploy, it is been utilized by  product engineering and software development.

Therefore, option D is correct

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Ebrima Kanteh works as a supervisor for an engineering company in Riyadh, Saudi Arabia. In the UK he had a reputation for speaking his mind and by doing so getting the best out of his staff. At the current project in Riyadh he supervises 12 British staff and nearly 50 Saudi staff. After a few months Ebrima has become increasingly frustrated by what he sees a less than effective Saudi team. Their lack of competence and slow work pace is worrying George. What should he do to try and bring the Saudi staff back into line?

Answers

Answer:

He should try to analyze and understand how Saudi workers view the role of a leader and teamwork. Cultural differences between Saudi Arabia and the UK are huge, the only similarity is that both are monarchies, but British monarchy stepped aside and doesn't rule anymore. While Saudi monarchy rules with an iron fist.

Some behavior or actions that are considered completely out of place or might even be illegal in the UK are totally normal in Saudi Arabia, and vice versa. I met someone that used to work in the middle east and he remembers that subordinates have a great respect for their leaders and do not question anything. But at the same time, normal motivation techniques didn't work with them. I remember he told me that in order to be able to make his team work he had to be rude with them and basically order them what to do and make sure they did it. This behavior would be unacceptable in western countries, bosses do not yell at employees all the time, but it worked for him there.

It wasn't the same country, but in order to work properly he had to overcome several cultural barriers and adopt several local customs. By the way, his subordinates were happy with him. No one ever confronted him and told him not to yell at people, since that is normal for them.

Ebrima will need to treat his British subordinates one way, and his Saudi subordinates another way. He should also talk to his fellow British employees and explain them why he is acting that way. If he doesn't, some of them might think he is abusing his authority. When my friend told about his experience I also thought he had become a really bad boss, but them he explained things to me in greater detail.

PLEASE HELP!!! Compare U.S. government savings bonds to mutual funds and collectibles in terms of risk and potential return. Explain why these investments are categorized as they are.

Answers

Answer:

.......

Explanation:

...................

The EU began as a common market for Multiple Choice the coal and steel industries. the transportation industries. the textile and dairy industries. all imported goods from beyond Europe.

Answers

Answer:

The answer is "The coal and steel industries".

Explanation:

In compliance with the terms of the 1975 Constitutional Act, on 5 June 1975, the UK promised a Vote on Inclusion in the European  Union, often alluded to as the Vote on the European Union, the Single Market Vote as the EEC Participation referendum to measure support.

This Group established its Council of Europe Coal and Steel Community, that consolidated free flow of coal and steel as well as the freedom of access to sources of production in 6 countries.

While Sally is still a minor, she wrecks the car she purchased from Bally. Can she still disaffirm the contract? Must she return Bally to?

Answers

Answer:

If Sally is still a minor, she can disaffirm the contract and return the car to Bally. Contracts involving minors are not legally binding unless the minor reaffirms them once he/she is an adult or a parent also signs the contract.

In this case, Sally's contract is voidable by her and if she chooses to, she is able to void it. What happens after she returns the car depends on the state. Some state laws force Bally to return the money even if the car is wrecked. Other states have laws that require minors to return goods in good shape, and in this case, would allow Bally to deduct any repair expenses from the money he needs to return to Sally.

Flagstaff Company has budgeted July production of 8,200 units. Variable factory overhead is $1.2 per unit. Budgeted fixed factory overhead is $20,500, which includes $3,300 of factory equipment depreciation. Compute the total budgeted overhead for July.

Answers

Answer:

Allocated MOH= $30,340

Explanation:

Giving the following information:

Flagstaff Company has budgeted July production of 8,200 units. Variable factory overhead is $1.2 per unit.

Budgeted fixed factory overhead is $20,500

To calculate the allocated overhead, we need to use the following formula:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= (1.2*8,200) + 20,500

Allocated MOH= $30,340

If a bank has a reserve ratio of 8 percent, then Group of answer choices the bank keeps 8 percent of its assets as reserves and loans out the rest. the bank keeps 8 percent of its deposits as reserves and loans out the rest. the bank's ratio of loans to deposits is 8 percent. government regulation requires the bank to use at least 8 percent of its deposits to make loans.

Answers

Answer:

the bank keeps 8 percent of its deposits as reserves and loans out the rest.

Explanation:

Since it is mentioned in the question that there is a reserve ratio of 8% so now the reserve requirement means the requirement with respect to the fund value that bank should hold on to in reserve against deposits that made by their clients. The money must be either at the vaults of the bank or at the closing of the federal reserve bank

Therefore the second option is correct

which value of a makes this investor indifferent between the risky portfolio and the risk-free asset

Answers

Answer: 8

Explanation:

Expressing the value of A that would equate the risk-free rate to the risky portfolio is;

0.06 = 0.15 − A/2(0.15)²

0.06 - 0.15 = -0.01125‬ * A

A = (0.06 - 0.15) / -0.01125‬

A = 8

With A being 8, the investor would be indifferent between the risk free asset and the risky portfolio according to their utility function.

Molly has generated general business credits over the years that have not been utilized. The amounts generated and not utilized equal:

Answers

Answer:

the question is incomplete since its missing most of its content:

Molly has generated general business credits over the years that have not been utilized. The amounts generated and not utilized follow:

year              unused business credits

2013                   $2,500

2014                   $7,500

2015                   $5,000

2016                   $4,000

 

In the current year, 2017, her business generates an additional $15,000 general business credit. In 2017, based on her tax liability before credits, she can utilize a general business credit of up to $20,000. After utilizing the carryforwards and the current year credits, how much of the general business credit generated in 2017 is available for future years?

Accumulated business credits up to 2016 = $2,500 + $7,500 + $5,000 + $4,000 = $19,000

Additional business credits generated during 2017 = $15,000

total business credits available at the end of 2017 = $34,000

if she can use $20,000 this year to reduce her tax liability, the ending balance of unused business credits that can be carried forward = $34,000 - $20,000 = $14,000

Upon arrival at the international airport in the country of Canteberry, Charles Alt exchanged $200 of U.S. currency 1,000 florins, the local currency unit. Upon departure from Canteberry's international airport on completion of his business, he exchanged his remaining 100 florins into $15 of U.S. currency.

Required:
a. Determine the currency exchange rates for each of the cells in the following matrix for Charles Alt's business trip to Canteberry.
b. Discuss and illustrate whether the U.S. dollar strengthened or weakened relative to the florin during Charles's stay in Canteberry.
c. Did Charles experience a foreign currency transaction gain or a loss on the 100 florins he held during his visit to Canteberry and converted to U.S. dollars at the departure date? Explain your answer.


Arrival Date Departure Rate
Direct exchange rate
Indirect exchange rate

Answers

Answer:

Explanation:

Here's the answer!! Hope this helped...

a. Exchange rate for buying florins = 5 florins per U.S. dollar and Exchange rate for selling florins = 0.15 U.S. dollars per florin

b. At the beginning of his trip, the exchange rate for buying florins was 5 florins per U.S. dollar. At the end of his trip, the exchange rate for selling florins was 0.15 U.S. dollars per florin.

c. Charles experienced a foreign currency transaction loss on the 100 florins he held during his visit to Canteberry and converted to U.S. dollars at the departure date.

a. To determine the currency exchange rates for each of the cells in the matrix, we can use the given information:

1. Charles exchanged $200 into 1,000 florins at the beginning of his trip.

Exchange rate for buying florins = Amount in local currency / Amount in U.S. dollars

Exchange rate for buying florins = 1000 florins / $200

Exchange rate for buying florins = 5 florins per U.S. dollar

2. Charles exchanged his remaining 100 florins into $15 at the end of his trip.

Exchange rate for selling florins = Amount in U.S. dollars / Amount in local currency

Exchange rate for selling florins = $15 / 100 florins

Exchange rate for selling florins = 0.15 U.S. dollars per florin

The completed matrix would be:

|    -     | U.S. Dollars ($) | Florins |

| Buying  |        1        |   5    |

| Selling |       0.15      |   1    |

b. To discuss whether the U.S. dollar strengthened or weakened relative to the florin during Charles's stay in Canteberry, we compare the exchange rates at the beginning and end of his trip.

If the exchange rate for buying florins (5 florins per U.S. dollar) is higher than the exchange rate for selling florins (0.15 U.S. dollars per florin), it means that the U.S. dollar strengthened relative to the florin during Charles's stay in Canteberry. In other words, Charles could get more florins for each U.S. dollar at the beginning of his trip than he could get U.S. dollars for each florin at the end of his trip.

c. This is because the exchange rate for selling florins (0.15 U.S. dollars per florin) was lower than the exchange rate for buying florins (5 florins per U.S. dollar).

When Charles initially exchanged $200 into 1,000 florins, he got 5 florins per U.S. dollar. However, when he exchanged his remaining 100 florins back into U.S. dollars at the end of his trip, he got only 0.15 U.S. dollars per florin.

To illustrate the transaction:

Initial exchange:

$200 --> 5 florins per U.S. dollar --> 5 florins * 200 = 1,000 florins

Exchange at departure:

100 florins --> 0.15 U.S. dollars per florin --> 100 florins * 0.15 = $15

Charles initially got $200 worth of florins (1,000 florins), but when he converted the remaining 100 florins back into U.S. dollars, he received only $15. This difference of $200 - $15 = $185 represents a foreign currency transaction loss during his trip.

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The demand for cooldrink is price elastic if

Answers

Answer:

see below

Explanation:

Elastic demand describes a scenario where a small change in price results in a significant difference in the quantity demanded. The term 'elastic ' suggests a moving or a stretching demand. Goods that have many substitutes have an elastic demand.

A product or service will have an elastic demand when a small price change greatly affects consumption. Customers will still seek alternative cheaper options if the price increases, which causes demand to drop significantly. The demand for cooldrink is price elastic if a small change in price results in demand changing considerably.

Jarvis is a coffee farmer who wants to hedge his entire coffee crop that will be harvested by September. The December coffee contract (which consists of 37,500 pounds of coffee) is trading at $2.00 per pound, which the farmer views as a profitable price. To hedge the entire crop, which is expected to weigh 150,000 pounds, at the best price, Jarvis should:

Answers

Answer: Sell four December coffee future contracts at $2.00 per pound

Explanation:

Based on the scenario in the question, the number of contracts that is required for hedging the entire crop will be gotten by dividing the total number of crops by the pounds that are available in one contract. This will be:

= 150,000/37,500

= 4 contracts

Therefore, the answer will be for Jarvis to sell four December coffee future contracts at $2.00 per pound

McDonalds reported current year pretax book income of $365,000. Included in the computation were favorable temporary differences of $13,750, unfavorable temporary differences of $97,000, and unfavorable permanent differences of $45,000. McDonalds' current income tax expense or benefit would be

Answers

Answer:

the current income tax expense or benefit is $103,583

Explanation:

The computation of the current income tax expense or benefit is shown below:

Current income tax expense is

= (pre - tax book income - favourable temporary difference + unfavorable temporary difference + unfavourable permanent difference) × tax rate

= ($365,000 - $13,750 + $97,000 + $45,000) × 21%

= $493,250 × 21%

= $103,583

We assumed the tax rate be 21%

hence, the  current income tax expense or benefit is $103,583

Nanometrics, Inc. has a beta of 3.15. If the market return is expected to be 10 percent and the risk-free rate is 3.5 percent, what is Nanometrics required return

Answers

Answer:

23.975%

Explanation:

Calculation for Nanometrics required return

Using this formula

Required return = Risk free rate + (Beta*(Market rate - Risk free rate))

Where,

Risk free rate =3.5%

Beta=3.15%

Market rate =10%

Let plug in the formula

Required return = 3.5% +(3.15*(10%-3.5%)

Required return = 3.5% +(3.15*6.5%)

Required return = 3.5% + 20.475%

Required return = 23.975%

Therefore Nanometrics required return will be 23.975%

Assuming the market interest rate is 10% per annum, how much would Coronado Industries record as a note payable if the terms of the loan with a bank are that it would have to make one $128000 payment in two years

Answers

Answer: $105,785

Explanation:

Coronado would need to record the note at the present value of $128,000 given a rate of 10% and a 2 year maturity.

= 128,000 / ( 1 + 10%)²

= 128,000/ 1.21

= 105,785.12

= $105,785

A government decision to privatize a sector of the economy formerly operated by the government is an example of _____ policy.

Answers

Answer:

Structural policy

Explanation:

This is an example of what is known as structural policy.

There are times where the problem of an economy get to be more and also last longer than inadequate demand. This problem can be caused by government policies or sometimes private practices that cause an impediment on the efficient production of goods and Also services. In other to fix a problem such as this, changes have to be made to the economy. Such changes is what is regarded as structural policy.

Marigold Company identifies three activities in its manufacturing process: machine setups, machining, and inspections. Estimated annual overhead cost for each activity is $157,500, $404,800, and $93,600, respectively. The cost driver for each activity and the estimated annual usage are number of setups 2,100, machine hours 25,300, and number of inspections 1,800.

Required:
Compute the overhead rate for each activity.

Answers

Answer and Explanation:

The computation of the overhead rate for each type of activity is as follows:

Overhead rate is

= Activity activity ÷ Level of activity driver

For machine setup, the Overhead rate is

= $157,500 ÷ 2,100 setup

= $75 per set-up

For machining, the overhead rate is

= $404,800 ÷ 25,300

= $16 per machine hour

For inspection, the overhead rate is

= $93,600 ÷ 1,800

= $52 per inspection

Wolf Computer exchanged a machine with a book value of $40,000 and a fair value of $45,000 for a very similar machine. In addition, Wolf paid $6,000 as part of the exchange. Wolf should recognize:

Answers

Answer:

gain of $5,000

Explanation:

Wolf's gain = fair market value - book value = $45,000 - $40,000 = $5,000

a company must determine the gain or loss of an exchange transaction using the asset's book value and comparing it against its fair market value. If the FMV is higher than the book value, the company will recognize a gain. If the FMV is lower than the book value, then the company will recognize a loss.

Brown Industries has a debt-equity ratio of 1.5. Its WACC is 9.6 percent, and its cost of
debt is 5.7 percent. There is no corporate tax.
What is the company's cost of equity capital? (Do not round intermediate
calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.)
b-1. What would the cost of equity be if the debt-equity ratio were 2.0? (Do not round
intermediate calculations and enter your answer as a percent rounded to 2
decimal places, e.g., 32.16.)
b-2. What would the cost of equity be if the debt-equity ratio were 0.5? (Do not round
intermediate calculations and enter your answer as a percent rounded to 2
decimal places, e.g., 32.16.)
b-3. What would the cost of equity be if the debt-equity ratio were zero? (Do not round
intermediate calculations and enter your answer as a percent rounded to 2
decimal places, e.g., 32.16.)

Answers

Answer:

A .Unlevered cost of equity = 9.6

b-1 Levered cost of equity = 28.69

b-2 Levered cost of equity = 14.37

b-3 Levered cost of equity = 9.6

Explanation:

A. First step is to calculate the E/A

D/A = D/(E+D)

D/A = 1.5/(1+1.5)

D/A=0.6

E/A = 1-D/A

E/A=1-0.6

E/A=0.4

Second Step is to calculate WACC using this formula

WACC = Levered cost of equity*E/A+Cost of debt*(1-tax rate)*D/A

Let plug in the formula

0.096= Levered cost of equity*=0.4+0.057*(1-0)*=0.6

Levered cost of equity =15.45%

Third step is to calculate UnLevered cost of equity using this formula

Levered cost of equity = Unlevered cost of equity+D/E*( Unlevered cost of equity-cost of debt)*(1-tax rate)

Let plug in the formula

0.1545 = Unlevered cost of equity+1.5*(Unlevered cost of equity-0.057)*(1-0)

Unlevered cost of equity = 9.6

b-1. Calculation for What would the cost of equity be if the debt-equity ratio were 2.0

Using this formula

Levered cost of equity = Unlevered cost of equity+D/E*( Unlevered cost of equity-cost of debt)*(1-tax rate)

Let plug in the formula

Levered cost of equity = 9.6+2*(9.6-0.057)*(1-0)

Levered cost of equity = 28.69

b-2. Calculation for What would the cost of equity be if the debt-equity ratio were 0.5

Using this formula

Levered cost of equity = Unlevered cost of equity+D/E*( Unlevered cost of equity-cost of debt)*(1-tax rate)

Let plug in the formula

Levered cost of equity = 9.6+0.5*(9.6-0.057)*(1-0)

Levered cost of equity = 14.37

b-3. Calculation for What would the cost of equity be if the debt-equity ratio were zero

Using this formula

Levered cost of equity = Unlevered cost of equity+D/E*( Unlevered cost of equity-cost of debt)*(1-tax rate)

Let plug in the formula

Levered cost of equity = 9.6+0*(9.6-0.057)*(1-0)

Levered cost of equity = 9.6

Jefferson's recently paid an annual dividend of $1.31 per share. The dividend is expected to decrease by 4% each year. How much should you pay for this stock today if your required return is 16%? A 5.5 percent coupon bond ( coupon rate=5.5%) has a face value of 1,000 and a current yield of 5.64 percent. What is the current market price?

Answers

Answer:

a. The price that should be paid for Jefferson's stock today is $6.29.

b. The current market price is $975.18.

Explanation:

a. Calculation of the price to pay for the Jefferson's stock today

This can be calculated using the following formula:

P = D / (r - g) ............................ (1)

Where;

P = Price per share today = ?

D = Next dividend = Current dividend * (1 + Dividend growth rate) = $1.31 * (1 +  (-0.04)) =  $1.31 * (1 - 0.04)  = $1.31 * 0.96 = 1.2576

r = Required return = 16%, or 0.16

g = Dividend growth rate = -4%, or -0.04

Substituting the values into equation (1), we have:

P = 1.2576 / (0.16 - (-0.04))

P = 1.2576 / (0.16 + 0.04)

P = 1.2576 / 0.20

P = 6.29

Therefore, the price that should be paid for Jefferson's stock today is $6.29.

a. Calculation of the current market price

This can be calculated using the following formula:

Current market price = (Coupon rate * Face value) / Current yield ............ (2)

Where;

Coupon rate = 5.5%

Face value = $1,000

Current yield = 5.64%

Substituting the values into equation (2), we have:

Current market price = (5.5% * $1,000) / 5.64%

Current market price = $55 / 5.64%

Current market price = $975.18

Therefore, the current market price is $975.18.

When a company collects sales tax from a customer, the event results in a(n) ________ in Cash and a(n) ________ in Sales Tax Payable.

a. increase; decrease
b. increase; increase
c. decrease; decrease
d. decrease; increase

Answers

Answer:

The correct option is option (b) increase; increase

Explanation:

Since the company collect the sales tax from a customer so here the cash is received that means cash is increased while on the other hand the sales tax payable is a liability so it is also increased. Moreover, the cash has the debit balance while on the other hand the liabilities has the credit balance

hence, the option (b) is correct

Nazim also recently bought bonds with a clause stating that interest will be paid only when the company has enough earnings to pay for it. Nazim has invested i

Answers

Answer:

Income Bond

Explanation:

Bond is simply any Corporations written pledge to repay a written and specific amount with interest.

Income bond also known as adjustment bond and an a type of debt security.

It is that which the face value of the bond only is pledged to be paid to the investor, with any other payment usually coupon payments paid only if the issuing party involved has enough earnings to pay for it. It is often used when a company is reorganizing and coming out of a bankruptcy.

Holt Enterprises recently paid a dividend, D0, of $3.50. It expects to have nonconstant growth of 12% for 2 years followed by a constant rate of 6% thereafter. The firm's required return is 18%. How far away is the horizon date

Answers

Answer:

At the end of the year 2

Explanation:

In order to compute the share of Holt enterprises, we  require dividends in years 1 and 2 dividends which are shown thus:

Year 1 dividend=$3.50*(1+12%)^1=$ 3.92  

Year 2 dividend=$3.50*(1+12%)^2=$4.3904

Horizon value at the end of year 2=year 2 dividend *(1+constant dividend growth rate)/(required return-constant dividend growth rate)

Horizon value is computed at the end of year 2 since it needs to follow the last dividend paid immediately

Floyd Industries stock has a beta of 1.20. The company just paid a dividend of $.50, and the dividends are expected to grow at 6 percent per year. The expected return on the market is 11 percent, and Treasury bills are yielding 5.9 percent. The most recent stock price for the company is $76.

Required:
a. Calculate the cost of equity using the DDM method.
b. Calculate the cost of equity using the SML method.

Answers

Answer:

a.

r = 0.06697 or 6.697% rounded off to 6.70%

b.

r = 0.1202 or 12.02%

Explanation:

a.

Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,

P0 = D0 * (1+g) / (r - g)

Where,

D0 * (1+g) is dividend expected for the next period /year g is the growth rate r is the required rate of return or cost of equity

Plugging in the values for P0, D0 and g in the formula, we can calculate the value of r to be,

76 = 0.5 * (1+0.06) / (r - 0.06)

76 * (r - 0.06) = 0.53

76r - 4.56 = 0.53

76r = 0.53 + 4.56

r = 5.09 / 76

r = 0.06697 or 6.697% rounded off to 6.70%

.

Using the CAPM, we can calculate the required/expected rate of return on a stock. This is the minimum return required by the investors to invest in a stock based on its systematic risk, the market's risk premium and the risk free rate.  

The formula for required rate of return under CAPM is,

r = rRF + Beta * (rM - rRF)

Where,

rRF is the risk free rate

rM is the market return

r = 0.059 + 1.2 * (0.11 - 0.059)

r = 0.1202 or 12.02%

Typically banks rely on other banks to lend reserves to one another. Which interest rate do they charge for these loans

Answers

Answer:

Federal funds rate

Explanation:

federal funds rate is simply known as the interest rate at which depository financial institutions borrows(lends) funds maintained at the federal reserve to other depository financial institutions usually or Maybe overnight.

It is simply the interest rate that one bank charges another for borrowing money overnight. Its importance is to help banks meet their reserve requirements and prevent bank failure and also may be use to stimulate the economy.

Ashland Corporation sells 150 shares of common stock being held as an investment. The shares were acquired six months ago at a cost of $30 a share. Ashland sold the shares for $38 a share. The entry to record the sale is:___________

Answers

Answer:

Dr Cash $5,700

Cr Gain on Sale of Stock Investments $1,200

Cr Stock Investments $4,500

Explanation:

Based on the information given we were told that the Corporation sold 150 shares of common stock that was being held as an investment which means that in a situation where the shares were acquired at a cost of $30 a share in which the Corporation sold the shares for cost of $38 a share. The Journal entry to record the sale will be:

Dr Cash $5,700

(150 shares *$38)

Cr Gain on Sale of Stock Investments $1,200

($5,700-$4,500)

Cr Stock Investments $4,500

(150shares *$30)

If the number of unemployed workers is 19 million, the number in the working-age population is 500 million, and the unemployment rate is 4%, what is the labor force participation rate?
A. 7.8%
B. 96.2%
C. 95%
D. 4.75%

Answers

Answer:

labor force participation rate= 96.2%

Explanation:

Giving the following information:

Unemployed people= 19 million

Labor force= 500 million

First, we need to calculate the employed people:

Employed population = 500 - 19= 481 million

Now, to calculate the labor force participation rate, we need to use the following formula:

labor force participation rate= (employed people/labor force)*100

labor force participation rate= (481/500)*100

labor force participation rate= 96.2%

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