A bank has excess reserves of $5,000 and demanc deposits of $50,000; the required reserve ratio is 20 percent. If the reserve ratio is raised to 25 percent, then this bank can lend a maximum of $2,000. $2,500. $1,000.

Q: You got a birthday gift cars valued at $40.00 which lets you choose to spend on food delivery fees.…

A: We are going to demonstrate the linear relationship between Value of Card and number of deliveries…

Q: Money is an imperfect standard of deferred payment because value of money to decrease over time.…

A: Money is the socially accepted method of exchange and the mode of payment, which facilitates the…

Q: People should buy bonds when they think that interest rates are as high as they will go.

A: A bond is a financial instrument that allows an issuer to raise capital by borrowing money from…

Q: Bob and Karen are both applying for a consumer loan. They both have the same current level of income…

A: A loan is a financial instrument that enables a user to access a defined amount of money at the…

Q: What challenges would you face if we lived in a society without money and would require a barter…

A: Barter system is a economic system where goods are exchanged in terms of another goods.

Q: Why is VAT a good thing?

A: VAT stands for Value Added Tax. It is charged at each stage of production for commodities on which…

Q: Why do credit scores reported by each credit bureau vary by as much as 50 points? They all use…

A: Credit Scores represent the financial stability of a person. They are essential for the finnacial…

Q: an saw an item at a local department store that she considered purchasing but did not. After getting…

A: Forgery: It refers to a situation in which the people signs or copy the signature of some other…

Q: Your friend Tim wants to open a checking account, but he's not sure how to do it. List the steps.

A: A checking account is a sort of bank account that enables you to deposit and receive money for…

Q: What is coinsurance

A: Co-insurance is the amount that you are required to pay for a medical claim, apart from any…

Q: The cost of money is established and measured by an interest rate. True or false?

A: Answer - Cost of Money -  Cost of the money is amount of interest can be charged on the money…

Q: discuss why people working in the finance industry might make unethical decisions.please give a…

A: Introduction and Example Regardless of whether it's a chief or forefront worker, it appears to be…

Q: Aaron, an insurance agent, meets with his long-time client Samantha, a 59-year-old paralegal because…

A: NOTE:- “Since you have posted multiple questions, we will provide the solution only to the first…

Q: 10 Think back to a challenge you faced at work or in the classroom when you had to solve a problem…

A:

Q: Suppose you have $5,000 as a gift from your parents just after you graduate. You have a car, your…

A: Insurance is a contract in which a person pays a firm and the company agrees to pay money if the…

Q: People invest because they want to make money. True or false

A: Investment in anything has some purpose and expectation of positive return in terms of income or…

Q: Scope Of Islamic Banking In Pakistan

A: A bank is a type of financial institution that is authorised to accept deposits and provide loans.…

Q: insurance creates wealth

A: Insurance is a financial instrument that protects an individual from unwarranted losses due to a…

Q: Items T/T M/T D/D Methods of transfer Airmail Time of transfer Slow Method of Authorized…

A: Transactions are done in the bank mainly by the three methods, and they are very different from each…

Q: You are choosing between two plans at a discount warehouse. Plan A offers an annual membership fee…

A: It can be defined as a point of price where the different price or different option available in the…

Q: Which of the following statements is correct about a business income coverage form? 1. it must be…

A: Business income coverage form is a type of an insurance policy that covers loss of income from…

Q: What does it mean to be Risk Averse?

A: The risk refers to outcomes that are uncertain.  The outcome of the decision is not certain and…

Q: What are differences between digital cash and cryptocurrency?

A: Digital Cash and Cryptocurrency is intangible money which cannot be seen in the form of currency in…

Q: Risk they say it’s in every decision we make as humans. Kindly discuss a positive or negative RISK…

A: In financial terms, risk is defined as the possibility that an outcome or investment's real gains…

Q: How is saving important?

A: Saving: - Saving is that part of income that is not consumed or kept as reserves by the people in an…

Q: Your friend Tim wants to open a checking account, but he's not sure how to do it. Explain the…

A: A checking account is a type of bank account that allows individuals to deposit money, withdraw…

Q: Selecting a Bank: Veronica plans to open a checking account with her $1,200 tax refund check. She…

A: Monthly charges by a bank refer to the fees that customers are required to pay on a regular, usually…

Q: keep a Renewable Term policy active, the insured must do which of the following? A. Submit a renewal…

A: Renewalable term insurance can offer monetary insurances long before a significant individual…

Q: Why is bank run contagious?

A: The word contagious refers to a cause that will have an impact over others where as the term bank…

Q: What is a good exercise that you can perform if you want to reduce the amount of money that you…

A: Money refers to a unit of account and the value of different commodities can be expressed in…

Q: Why are the financial statements important in business?

A: Financial statements are the written records which conveys the activities of business and financial…

Q: Define risk-seeking.

A: Risk refers to the possibility of happening something undesirable, People take risk to achieve…

Q: What is the difference between an asset and liability?

A: In economics and also in business(accounting), it is vital to weigh the assets that a company owns…

Q: What caused Silicon Valley Bank to reach the national and international headlines and breaking news?

A: Silicon Valley Bank made a news when it was seized by California regulators on friday after…

Q: How do insurance companies make money?

A: As a for-profit firm, an insurance company must develop an internal business model that collects…