decide belween buyng a siate p table for $1,800 ar being able to go on a Canadian vacation having enougn it over to buy a nonslate pool table for $800. Robert opts for the nonslate pooi table and th Canadian vacation. Robert has used money in what ways in making his decision OA. Medium of exchange and a standard unit of account. OB. Store of value and a standard unit of account. OC. Medium of exchange and a method to decrease deferred payments. O D. Medium of exchange and a store of value.

decide belween buyng a siate p table for $1,800 ar being able to go on a Canadian vacation having enougn it over to buy a nonslate pool table for $800. Robert opts for the nonslate pooi table and th Canadian vacation. Robert has used money in what ways in making his decision OA. Medium of exchange and a standard unit of account. OB. Store of value and a standard unit of account. OC. Medium of exchange and a method to decrease deferred payments. O D. Medium of exchange and a store of value.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: True or False: Credit cards are included in the M2 definition of money. O True O False upction 21

A: M2 = M1 + savings deposits + certificate of deposits + Mutual fun account M1= cash + checking…

Q: Imagine you have R1,000 in cash, and you deposit this money into a saving account at a bank. What…

A: Money is something or any commodity that is widely accepted by general public in medium of exchange.…

Q: Don't use ai to answer I will report your answer Solve it Asap with explanation and calculation

A: Role of MoneyMedium of ExchangeUnit of AccountStore of ValueShen can easily determine that the price…

Q: Which of the following statements relates to the Medium of Exchange function of mon O Money solves…

A: Money refers to anything that proplr are willing to accept in exchange for goods and services.

Q: Morgan D. decides to go on a vacation for which he withdraws $2,500 from his savings account (NOT…

A: Answer: A saving account is a part of M2. If $2,500 is withdrawn from the savings account then M2…

Q: The Federal Reserve is offering Treasury bills with a par value of $10 billion for sale. They have…

Q: Nhich of the following definitions of money refers to the coins and paper money held by the public?…

A: Money is the mode of exchange of goods and services through direct payment, which acts as a medium…

Q: A reserve requirement of 20 percent means a bank must have at least $3,000 of reserves if its…

A: We have given the reserve requirement as 20%. This means that for every dollar of checkable deposits…

Q: If you make a late payment on a 0% interest credit card, you're responsible for paying the entire…

A: The statement is false If we make late payment on a 0% interest card , then the bank may charge…

Q: Haley transfers $100 from her checking account and into a money market mutual fund a. Her assets…

Q: 7. Match each concept in Column A with a definition or example in Column B. Column A Column B а.…

A: Since you have asked multiple sub-parts, we will solve the first three questions for you If you want…

Q: Imagine you have R1,000 in cash, and you deposit this money into a saving account at a bank. What…

A: Money refers to something or any commodity that is widely accepted by general public in medium of…

Q: According to the table to the right, the value of M1 is A. $1,313 billion. B. $1,888 billion.…

A: For this question, first we look at the definition of M1 measure of money supply. M1 or narrow money…

Q: Question 12 If you withdraw cash (currency), for AED 750,000 from your small time-deposit account: O…

A: Money supply represents the total stock of money available in an economy. It includes coins, paper…

Q: In 2007-08, the financial crisis led money multiplier to and the money supply to which would cause…

A: The money supply(Ms) equation represents the relationship between the monetary base(MB),…

Q: PLS HELP ASAP ON BOTH

A: 1. When a dealer places a temporary hold on an account, there are a number of factors that that must…

Q: How would the bank enter the following into it's t-account? Dennis makes a $750 deposit at his local…

A: The Federal Reserve System (Fed) is the central bank of the United States. It serves several crucial…

Q: Table 1 First Charter Bank Assets Liabilities Reserves $800 $400 $1.200 Deposits Net Worth Total…

Q: Which function of money is best served by bitcoin? A. A medium of exchange B. A unit…

A: The bid=t coin is accepted to exchange for certain goods and services. This indicates the medium of…

Q: The concept of equivalence helps in understanding how different sums of money at different times are…

A: Gradually the economic equivalence basically or usually exists between the cash flow which merely…

Q: etermine showing all calculations which supermarket will be the best value for money

A: Given:

Concept explainers

Required Reserve and Excess Reserve Analysis

A required reserve is an amount of cash that banks must keep with themselves, which is certain percentage of the deposits made by their customers. Required reserve is a percentage of the bank's deposits that the respective bank must have on each overnight. The percentage rate is set and determined by the nation’s central bank. It is important to have such funds accumulated to meet its uncertain obligations, sudden liabilities and withdrawals. Required reserve is also known as reserve ratio. Reserve ratio is an important tool to control the money supply.

Question

Robert needs to decide between buying a slate pool table for $1,800 or being able to go on a Canadian vacation for $1,000 and still having enough left over to buy a nonslate pool table for $800. Robert opts for the nonslate pool table and the Canadian vacation. Robert has used money in what ways in making his decision?
O A. Medium of exchange and a standard unit of account.
O B. Store of value and a standard unit of account.
OC. Medium of exchange and a method to decrease deferred payments.
O D. Medium of exchange and a store of value.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

K nunn Suppose Shanna withdraws $7,500 from her money-market mutual fund and deposits this money into her son's chequing account at a chartered bank. Then OA both M2 and M2+ will decrease by $7,500. OB. the values of M2 and M2+ will remain unchanged. OC. both M2 and M2+ will increase by $7,500. OD. M2 will decrease by $7,500, but M2+ will increase by $7,500. OE M2 will increase by $7,500, and the value of M2+ will stay the same.
11
AB ans
Which of the following is NOT a function of money? O a. A unit of account O b. A store of value O c. An interest-earning asset O d. A medium of exchange
Typed plzzz And asap Thanks
Please help me with 4 and 7. Thank you 4. Show (using the credit/debit tables) how each of the following would affect theU. S. Balance Of Payment. Your records should include a description of the transactionbeing recorded, which specific account is affected, and the accompanying credit/debitentry.a. A U. S. airplane manufacturer imports $600,000 in parts from a Canadian firm. It usesa U. S. bank account to pay for the parts.b. The Bank of England (U.K. central bank) buys $2 million in U. S. Treasury bonds froman American securities firm. c. An Italian tourist charges $400 to his Mastercard (issued by an Italian bank) for a hotel room in New York City.d. A Chinese catering company purchases $30,000 in helium tanks from a U. S. weldingfirm. The Chinese catering company uses deposits from a bank in China.e. A French firm forgives a $250,000 loan to an oil refinery located in Louisianafollowing a hurricane. 7. During the 1980s, the United States experienced “twin deficits” in…
Assume that you are interested in earning some returnon the idle balances you usually keep in your checkingaccount and decide to buy some money market mutualfunds shares by writing a check. Comment on the effectof your action (with everything else the same) on M1and M2
Calculate the value of money multiplier and the total deposit created if the initial amount is $800 million and LRR is 10%.
Note. Don't use Ai bot
A bank that has assets of $150 billion and a net worth of $30 billion must have Multiple Choice О liabilities of $30 billion. O liabilities of $120 billion. О excess reserves of $120 billion. excess reserves of $30 billion.
Saved There is a reserve requirement of 23 percent in the United States. If the Federal Reserve makes an open market purchase of $23 million, the money supply will Multiple Choice Graw Hill decrease by $100 million. increase by $529 million. decrease by $529 million. increase by $100 million. 1 ! 87 & R T Y U ( 8 9 1 0 0 D F G H J K
2. When you discover a $20 bill in your coat pocket that you placed there last winter, you find you were unexpectedly using money as a O medium of exchange. store of value. unit of account. factor of production.