Author Question: At the point at which the consumption function intersects the 45 degree reference line A) planned ... (Read 88 times)

Zulu123

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At the point at which the consumption function intersects the 45 degree reference line
 
  A) planned real consumption of real disposable income equals zero.
  B) planned real saving equals real disposable income.
  C) planned real consumption equals real disposable income.
  D) equilibrium output is supply determined equilibrium output is determined by both.

Question 2

List the various categories into which a bank's liabilities are divided?
 
  What will be an ideal response?


1_Step_At_ATime

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Answer to Question 1

C

Answer to Question 2

A bank's liabilities are divided into the following.
a. Demand deposits: These are funds loaned to the bank by depositors.
b. Short-term borrowing: This is comprised of short-term loans that a bank has obtained from other financial institutions
c. Long-term debt: This is defined as debt that is to be repaid in a year or more.
d. Stockholders' equity: This is defined as the difference between a bank's total assets and liabilities.



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