ow the price of gold is suppressed? a. Lending gold to bullion banks b. Selling the gold in the black market c. Store all the golds in the treasury d. Reduce the supply to lower the prices
Q: 11. What are consolidated financial statements?
A: Financial statement includes Income statement, balance sheet, statement of owner's equity and cash…
Q: Current Attempt in Progress Wildhorse Company incurred the following costs during the current year…
A: TOTAL EXPENSES Total expenses include all expenses related to such project. A company's total…
Q: On July 1, 20x3, Elsa Inc. purchased as a short-term investment a P 1,000,000 face value Anna Co. 8%…
A: We calculate the theoretical value of bond on july 1, 20x3 to know the purchase price of bond.To…
Q: Instructions (a) Prepare a schedule showing the computation of cost of goods sold for 2019. (b)…
A: Introduction: - Income statement shows company's income and expenses over a period of time.…
Q: Rights of Creditors The following are data for the AB Partnership and for A and B as individuals.…
A: DISTRIBUTION OF CASH OF AB PARTNESHIP CASE 1 CASE 2 Partneship creditors $ 42000 $ 31000…
Q: You are provided with the following amounts for Diane Welsey for the current year: -Net employment…
A: Solution : Interest income = $5,500 Add: taxable amount of dividends= $ 2,640 Less: interest expense…
Q: fixed asset with a cost of $25,104 and accumulated depreciation of $22,593.60 is sold for $4,267.68.…
A: The gain or loss on sale of fixed assets is calculated as difference between book value of asset and…
Q: For each the Regressive, Proportional, and Progressive Income Tax Systems, write a paragraph…
A: Answer:- Tax meaning:- Taxes are compulsory payments made by a government organization, whether…
Q: Which of the following is NOT an indicator used in determining the functional currency? • a.…
A: A practical foreign money is the primary foreign money that a agency conducts its business. As…
Q: George's Dry Cleaning is considering a merger with Weezzie's Laundry Supply Stores. George's total…
A: Operating costs are one of the most important costs for any business. It is the costs and expenses…
Q: ounts payable ounts receivable D $4
A: Consolidation - Consolidation is a legal procedure whereby various commercial companies are combined…
Q: On January 1 of this year, Olive Corporation issued bonds. Interest is payable once a year on…
A: Bond is an investment security which is purchased by investors in order to earn regular fixed…
Q: Sales Expenses Avoidable Unavoidable Total expenses Income (loss) partment partment M partment N…
A: An avoidable cost is a cost that shall incur only when such activities are happened or vice versa.
Q: Partners Ayan and Bry share profits and losses of their partnership equally after annual salary…
A: Partnership is a form of business concern in which the partners run business to generate profit. All…
Q: Which of the following would be an example of a research and development expenditure eligible for…
A: Explanation : Research and development (R&D) expenses are associated directly with the research…
Q: Below are departmental income statements for a guitar manufacturer. The company classifies…
A: DEPARTMENT CONTRIBUTED TO OVERHEAD The departmental contribution to overhead is the gross profit…
Q: The revenue agent who audited Ms. Hsui's Form 1040 discovered a $15,250 deduction that wasn't…
A: Tax avoidance is the process through which taxpayers lower their taxable income by using legal and…
Q: Melia just started her food truck business few weeks ago. You are required to record the following…
A: Journal entries are the foremost and primary reporting of the business transactions in the books of…
Q: Which of the 3 methods of inventory costing (Lifo, Fifo, or Average Cost) will result in the lowest…
A: The inventory valuation method affects the cost of goods sold, the value of inventory, and also the…
Q: A corporation sounds more complicated but does it out weight the liability risk of partnerships?
A: Corporate means relating to large companies, or to a particular large company. A partnership is a…
Q: major manufacturer for the production of Item I. The carrying amount of the inventory of parts at…
A: the inventory is considered to be an important item for the manufacturer so it is important for them…
Q: Required: A project has estimated annual net cash flows of $64,000 and is estimated to cost…
A: Payback Period :— It is the time period required to recover all its initial investment or cash…
Q: Based on the following information,. Purchase of investments $ 434 Dividends paid…
A: The question is based on the concept of Cash flow Statement. Cash flow statement is the statement…
Q: Based on the following data, determine the cost of the land to be reported on the balance sheet.…
A: The total cost of building includes all those expenses which are incurred to make the land ready to…
Q: Required: Susan has asked you to produce a report, to SGP's UK board of directors, analysing the…
A: Standard costing is a technique of cost accounting which includes both the actual amounts as well as…
Q: Lopez Company is considering replacing one of its old manufacturing machines. The old machine has a…
A: Since you have posted a question with multiple sub-parts, we will do the first three sub-parts for…
Q: me Statement Per Unit $ 6.00 1.44 0.36 0.60 3.60 0.20 0.15 $ 3.25 Annual Total $ 2,400,000 576,000…
A: To decide if a special order is to be accepted or rejected , the incremental cost on the special…
Q: Vaughn Furniture Company started construction of a combination office and warehouse building for its…
A: The interest that could have been avoided is referred to as the "avoidable interest," and it is…
Q: h and Bill Jones buy property for $500,000. Tony and Bill organize a corporation when the property…
A: When you buy the property than prices goes up so there is capital gains but that capital gains is…
Q: On December 1, Gary Walker began an auto repair shop, Walker's Quality Automotive. The following…
A: Adjusting Entry – Adjusting Entries are the entries that make the accrual principle work for the…
Q: Point, Inc. produces men's shirts. The following budgeted and actual amounts are for 2019: Cost…
A: Budget: It implies to a financial estimate that shows the expected numbers related to different…
Q: Determine the over or underapplied overhead for each department at the end of January.
A: Over or under applied overhead is the difference between applied overhead and actual overhead. If…
Q: What information is provided by the Vendor Balance Detail Report?
A: The Vendor Balance Detail Report provides a detailed summary of a vendor's balance, including…
Q: Yogurt Yoghurt Yogurte sells every flavor of yogurt. Each flavor of yogurt is a separate division…
A: Master budget sale price=$4200/800=$5.25 Actual sale price=$2725/500=$5.45 Total variable cost…
Q: Pearson Co issue its $199500 at a price of 97, the stated rate is 6%, the bond term is 4 years, and…
A: The bonds are issued at a discount as the issue price is less than the face value. Interest expense…
Q: Comparative Income Statement Cost of Goods Sold Get Proft bron Sales Selling For Years Ended…
A: The question has asked to prepare the common-size income statement, trend analysis of the balance…
Q: The payroll records of Speedy Software show the following information about Marsha Gottschalk, an…
A: Solution:- Computation of Net pay as follows as follows:- Net pay current period =Gross pay (Current…
Q: Masters required 30% of continental furniture Equity methods between the 20 and 50, $400,000…
A: When a company acquires between 20% to 50% of the shares of another entity, the acquiring entity is…
Q: Ratio of FIxed Assets to long term liabilities 2. Find the ratio of liabilities to stockh
A: Fixed assets to long term liabilities represents the ratio of fixed assets available within the…
Q: Diane sold the following items during the current year: Item Holding Period…
A: When an individual disposes of the asset, he must compute the resulting gain or loss on such…
Q: Under its current cash sales-only policy JJ sells 186 units per month at a price of $330. the…
A: The net present value of the switch using one-shot approach Monthly benefit = {[$330 (186 + 25)]/(1…
Q: 4. Average Collection Period 5. Inventory Turnover 6. Average Sales Period de 32
A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: 10. Debt to Equity Ratio 11. Times Interest Earned 12. Gross Profit Ratio
A: Ratio analysis means where different ratio of various years of years companies has been compared and…
Q: Wookie Company issues 10%, five-year bonds, on January 1 of this year, with a par value of $100,000…
A: ANSWER Par value of bond = $100000 Interest rate = 10% Calculation of premium on bonds…
Q: Information on Cloudy's past operations follows: Installment sales Cost of sales Gross profit rate…
A: ANSWER:- 15) Total realised gross profit in 20X3 = 94,500 (option D) 16) (Loss)/ Gain on Reposession…
Q: The stockholders' equity section on the December 31 balance sheet of Hadley Corporation reported the…
A: Paid in capital :— It is the total amount received by company from shareholder's in exchange for…
Q: 7. 8. Debt Ratio 9. Equity Ratio Working Capital ons
A: Ratio analysis means where different ratio of various years of years companies has been compared and…
Q: What are some of the advantages of a multi-step approach?
A: An extensive examination of a company's costs and net income is provided by a multi-step income…
Q: The company targets a 10.0% markup on total cost. Variable Costs per Unit Direct materials Direct…
A: Answer : 1. Total cost per unit Total cost production = Variable cost + Fixed cost Variable cost :…
Q: John is trying to decide whether to contribute to a Roth IRA or a traditional IRA. He plans on…
A: Traditional IRA is the individual retirement plan in which tax on the withdrawl is paid on the…
6
How the price of gold is suppressed?
a. Lending gold to bullion banks
b. Selling the gold in the black market
c. Store all the golds in the treasury
d. Reduce the supply to lower the prices
Step by step
Solved in 2 steps
- Which of the following statements are true? Holding cash is costly when banks offer high interest rates. TRUE / FALSE An increase in the size of the underground economy increases the circulation of cash. TRUE / FALSE Holding cash is costly when inflation is low. TRUE / FALSE People demand cash only to finance transactions. TRUE / FALSE The demand for money has fallen during the Covid-19 pandemic TRUE / FALSE During times of economic uncertainty people hoard cash. TRUE / FALSE3. Consider the monetary neutrality. Suppose that the central bank changed the money supply. According to economists’ assumption on monetary neutrality, could the change affect the employment in the short-run? How about in the long-run? Short-run: Long-run:The advantage(s) of the gold standard in monetary system include _______. I. high inflation is less likely because of limited supply of gold II. cross-border flows of gold is easy III. the world economy can face deflationary pressure because of limited supply of gold IV. there is no mechanism to enforce the rules of the gold standard system, leading to the issue regarding de-monetization of gold. A. II, III and IV only B. I only C. III and IV only D. I and II only
- Assume that the central bank primay goal is to correct a weak economy. How can it use open market operations to achieve its goal. What is a posible adverse effect of this action buy central bank(even if it achieves its goal)?.Which of the following statements regarding the professional arbitrage is FALSE? a) The arbitrageurs may choose to hold cash even when they know the asset prices are temporarily below their fair values. b) The arbitrageurs may lose money sometimes. c) The arbitrageurs conduct fire sales sometimes because the asset prices are too high. d) The arbitrageurs may make the markets less efficient sometimes.3. Open market operations versus discount loans Consider an expansionary open market operation. Suppose the Federal Reserve buys government securities from the nonbank public. Suppose that the sellers of government securities cash the checks and hold on to the cash. Then, ceteris paribus, bank reserves do not change ▼ currency in circulation increases , and thus the monetary base will increase Suppose now that the Federal Reserve wants to increase the monetary base by increasing bank reserves only. Which of the following actions enables the Fed to achieve its goal? ○ Lend to commercial banks through the term auction facility Lend to the non-banking public at the discount window Require the non-banking public to repay discount loans Buy the government securities exclusively from the non-banking public By lending to commercial banks through the discount window, the Federal Reserve alters the monetary base and thus affects
- The one major problem with fractional reserve system occurs when a. Borrowers are unable to pat back causing domino effect of bank failures b. The stock market drops in value rapidly(‘crashes’) leaving banks without any cash c. Too much money is created through the money multiplier effect which decreases the value of moneyA commercial bank in Barbados faces serious liquidity problems; however, they have an asset that has the required value to meet their debt obligations. However, due to poor economic conditions, they may not get a buyer in time to purchase such an asset at their preferred price, so they may end up losing money for selling that asset lower than their preferred price, or if they choose not to sell the asset, they will not be able to meet their financial obligation. Which of the following strategy is best suited to manage the bank’s liquidity risk? Select one: a. Interest rate swaps b. Stress Tests c. Diversifying d. HedgingIts difficult for payments bank to survive in long run ?
- If a bank wants to shorten its asset duration, what type of risk is the bank concerned about? Group of answer choices Off balance sheet risk. The risk of rising interest rates. The risk of falling interest rates. Foreign exchange rate risk.All else being equal, if a central bank sells government bonds from the market it would: a. decrease the money supply. b. decrease interest rates. c. mean the supply of loanable funds would move to the right. d. most likely decrease savings in the economy.1.The prices of both soft and hard commodities are very volatile. Explain why? 2. Explain the opportunity cost of holding money and how does it relate to the interest rates 3. What is the role of commercial banks in the economy? Why are they important?