This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose you deposit 2,000 into Bank of America and that the required reserve ratio is 10 percent. ... (Read 53 times)

melly21297

  • Hero Member
  • *****
  • Posts: 565
on: Jun 29, 2018
Suppose you deposit 2,000 into Bank of America and that the required reserve ratio is 10 percent. How does this affect the bank's balance sheet?
 
  A) Required reserves rise by 2,000. B) Excess reserves rise by 1,800.
  C) Reserves rise by 200. D) Deposits rise by 1,000.

Question 2

You are made better off in which of the following situations?
 
  A) you borrow 10,000, you earn income in pesos, the dollar depreciates against the peso, you must pay back the loan in dollars
  B) you borrow 10,000 pesos, you earn income in pesos, the dollar depreciates against the peso, you must pay back the loan in pesos
  C) you borrow 10,000, you earn income in pesos, the dollar appreciates against the peso, you must pay back the loan in dollars
  D) you borrow 10,000 pesos, you earn income in dollars, the dollar depreciates against the peso, you must pay back the loan in pesos


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Athena23

  • Sr. Member
  • ****
  • Posts: 305
Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

A


melly21297

  • Member
  • Posts: 565
Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

EAN94

  • Member
  • Posts: 307
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

A recent study has found that following a diet rich in berries may slow down the aging process of the brain. This diet apparently helps to keep dopamine levels much higher than are seen in normal individuals who do not eat berries as a regular part of their diet as they enter their later years.

Did you know?

Chronic marijuana use can damage the white blood cells and reduce the immune system's ability to respond to disease by as much as 40%. Without a strong immune system, the body is vulnerable to all kinds of degenerative and infectious diseases.

Did you know?

Amoebae are the simplest type of protozoans, and are characterized by a feeding and dividing trophozoite stage that moves by temporary extensions called pseudopodia or false feet.

Did you know?

Signs and symptoms that may signify an eye tumor include general blurred vision, bulging eye(s), double vision, a sensation of a foreign body in the eye(s), iris defects, limited ability to move the eyelid(s), limited ability to move the eye(s), pain or discomfort in or around the eyes or eyelids, red or pink eyes, white or cloud spots on the eye(s), colored spots on the eyelid(s), swelling around the eyes, swollen eyelid(s), and general vision loss.

Tree species richness in North America is correlated with evapotranspiration rate. Tree species richness in North America is correlated with evapotranspiration rate.
Pacific hagfish at 150 meters depth, California, Cordell Bank National Marine Sanctuary. Pacific hagfish at 150 meters depth, California, Cordell Bank National Marine Sanctuary.
Historian James Merrell notes several errors in Benjamin West’s famous 1771 painting, William Penn’s Historian James Merrell notes several errors in Benjamin West’s famous 1771 painting, William Penn’s
Good computer skills are now required to be a successful member of an office staff. Good computer skills are now required to be a successful member of an office staff.
Crime Control in America: What Works?, 4th Edition Crime Control in America: What Works?, 4th Edition
Consider the production function ( ) 0.5 0.5 Y = AK L . Suppose both saving rate (s) and the ... Consider the production function ( ) 0.5 0.5 Y = AK L . Suppose both saving rate (s) and the ...
Video: Morphology of a tomato plant

For a complete list of videos, visit our video library