A bank has deposits of 25,000,000. The Federal Reserve decreases the reserve requirement from 10 to 5. What is the net effect on the bank's money multiplier effect?
A) The multiplier effect will be decreased by 250,000,000.
B) The multiplier effect will remain unchanged.
C) The multiplier effect will be decreased by 1,250,000.
D) The multiplier effect will be increased by 250,000,000.
E) The multiplier effect will be increased by 1,250,000,
Question 2
When all products undergo the same operations in the same sequence, a(n) _____ is used.
A) automated layout
B) product layout
C) process layout
D) output layout
E) fixed layout
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