3. In a t-account show the bank balances for a $5000 deposit with a 10% reserve ratio. What is the money multiplier and what is the maximum amount of money created by this deposit? t-account: Money Multiplier: Money created: If the reserve ratio is lowered to 2%, what is the money multiplier and what is the maximum amount of money created by the same $5000 deposit? New money multiplier:__ New amount of money created:

3. In a t-account show the bank balances for a $5000 deposit with a 10% reserve ratio. What is the money multiplier and what is the maximum amount of money created by this deposit? t-account: Money Multiplier: Money created: If the reserve ratio is lowered to 2%, what is the money multiplier and what is the maximum amount of money created by the same $5000 deposit? New money multiplier:__ New amount of money created:

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

1. GridCo Analytics needs to purchase new land surveying equipment. GridCo's after tax MARR is 9% and the corporate tax rate is 42%. Surveying equipment is a CCA Class 8 asset. The remaining data are contained in the table below. Model First Cost Economic Life Annual Net Salvage Value (Years) $20,000 $25,000 $30,000 (a) Using the annual worth method, which model should BlastCo buy? ' $110,000 $130,000 $155,000 Savings | $65,000 $85,000 $90,000 Ranger 5 Sonic_Flex 5 Laser_Metric 5 (b) What is the approximate after tax IRR of each model? ( (c) What is the exact after tax IRR of each model? tcas
C 3 SERG P d B 162 A D > H 9
7
1. Someone bought a house $400,000 in cash of which $100,000 is the value of the property. The property is rented out for 5k monthly and it cost 500 a month to maintain. He pays 38% in contributions. He plans to totally depreciate the property after 20 years, using the straight line depreciation . What is the vnet annual income from contributors? 2. A company bought a machine with an initial cost of $1million with a salvage value of 100,000 in year 10, it was sold in y5 for 1.2 million a) what are the tax implications of this sale? fully depreciated with a 100%bonus + straight line depreciations the firm that owns the machine pays corporate income taxes at crate of 40% and a capital gains taxes at a rate of 10%
1
1
Calculate Net value added at the factor cost
Find IRR no solve by hand no excel please
ENGINEERING ECONOMICS A man deposit ₱1,00,000,000 for one year which pay an annual interest of 6%. The income is taxable and the bank charges a withholding tax of 20% tax rate. Compute the after tax rate of return in his deposit. SHOW COMPLETE SOLUTON ON A PAPER.
Multiple Choice $4,725.87 TB MC Qu. 10-45 (Static) Sara borrowed... Sara borrowed $5,000 on a 120-day 5% note. Sara paid $500 toward the note on day 40. On day 90, she paid an additional $500. Using the U.S. Rule, her adjusted balance after the first payment is: $4,527.78 $4,725.70 Save & Exit Check my
1. A company intends to replace equipment that is no longer able to meet its needs. The two best alternatives are to purchase a manual tool (A1) or an automatic tool (A2). The estimated economic consequences of the two alternatives are: A1 A2 Initial investment ($) 28.000 65.000 Annual withdrawal ($) 14.000 9.000 Additional withdrawal every 5 years ($) 14.000 9.000 Lifespan (years) 10 20 Residual value ($) 8.000 13.000 Based on the present worth analysis, with an interest rate of 15% per year, an analysis period of 20 years, and the assumption of recurrence, determine the best alternative that must be chosen using future worth analysis.
Using the following information, calculate the Net Value Added at Factor Cost. Sales 25000 Excise Duty 5000 1000 -500 7000 Depreciation Change in Stock Intermediate Cost O a. 11000 O b. 10500 O c. O d. 12500 11500