One bag of coffee beans is sold for 7 to a cafe that uses it to brew coffee which it sells to customers for a total of 15. A second bag of coffee is sold directly to Joan for 7, who uses it to brew coffee for her family every morning.
What is the contribution to GDP from the purchases of coffee beans and coffee?
A) 14 B) 29 C) 15 D) 7 E) 22
Question 2
The reserve ratio is 10 percent. If the bank receives a customer deposit of 100,000, then an immediate effect is
A) a reduction in the bank's total assets of exactly 10,000.
B) no change in the bank's total assets or total liabilities.
C) a reduction in the bank's total liabilities of exactly 10,000.
D) an increase in the bank's reserves of exactly 10,000.
Brew a mug of flavored decaffeinated tea
Coffee beans
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