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2 years ago

Fill in the blanks in the balance sheet of a bank based on the following information:

Business

1 answer:

kumpel [21]2 years ago

8 0

Answer: Banks Balance Sheet

Explanation:

Banks Balance Sheet

$billion

ASSETS:

- Cash (Paper Money & Coins) 250

- Federal Reserve Bank 170

- Deposit with other private banks 930

- Loan to Households 2,700

TOTAL ASSETS 4,050

LIABILITIES:

- Customers Deposits 2,600

- Loans 1,750

- Debts 650

TOTAL LIABILITIES 5,000

CAPITAL:

-Physical capital 1,800

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The mean cost of domestic airfares in the United States rose to an all-time high of $385 per ticket (Bureau of Transportation St

TEA [102]

Question:

The mean cost of domestic airfares in the United States rose to an all-time high of $385 per ticket (Bureau of Transportation Statistics website, November 2, 2012). Airfares were based on the total ticket value, which consisted of the price charged by the airlines plus any additional taxes and fees. Assume domestic airfares are normally distributed with a standard deviation of $110.What is the probability that a domestic airfare is $550 or more (to 4 decimals)?

Answer:

0.0668

Step-by-step explanation:

We are given:

Mean cost of domestic airfare u = $385 per ticket

Standard Deviation = $\sigma$ = $ 110

Since the distribution is normally distributed, we'll find the probability that a domestic airfare is more than or equal to $550.

Therefore

P(Airfares ≥ 550)

We are to use z score since it is normally distributed.

Let's find the equivalent z score of x at 550.

For z score, we use the expression:

$z=\frac{x-u}{\sigma}$

Substituting figures in the expression, we have:

$z=\frac{550-385}{110}=1.5$

Therefore,

P(X ≥ 550) = P(z ≥ 1.5)

From the z table we get that P(z ≥ 1.5) = 0.0668

It can be deduced that, since P(X ≥ 550) = P(z ≥ 1.5), the probability that the domestic airfare is equal or more than $550 is 0.0668

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2 years ago

On march 15, morgan corporation paid $1,000 to buy a one-year insurance policy that will expire exactly one year after the date

shtirl [24]

Yes. It will only affect the asset portion of the company's balance sheet.

When the company buys the one-year insurance policy, the journal entries will be:

Debit Credit
Prepaid insurance 1,000
Cash 1,000

When the insurance expires after a year, the journal entries will be:
Insurance Expense 1,000
Prepaid Insurance 1,000

Note:
Prepaid Insurance and Cash are both found in the assets section of the balance sheet.
Insurance Expense is found in the Income statement of the company and not in the balance sheet.

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2 years ago

Piper owns a vacation cabin in the Tennessee mountains. Without consider-ing the cabin, she has gross income of $65,000. During

zloy xaker [14]

Answer and Explanation:

a) rent income from sarah's vacation house will not affect her AGI, because according to rules if vacation house is used fewer than 15 days, in that case it is treated as a personal house and its expenses and income have not effect on the AGI. only the mortgage interest and property yax will be deducted from AGI.

b) only the mortgage interest and property yax will be deducted from AGI. other expenses are non-deductible from AGI because these are treated as personal expenses.

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2 years ago

An electronics firm is considering how best to supply the world market for microprocessors used in consumer and industrial elect

nadezda [96]

Answer:

Explanation:

The total value of the world market for this product, over the next 10 yes is minimum of 10 billion dollars.

In a year, this will be 1 billion dollars

To start the manufacturing, a plant worth 500 million dollars has to be erected. This is half of a billion, meaning that the company will make total revenue of 1 billion and have total cost of at least half a billion, in a year.

So the company's yearly profit will be equal to the amount used to erect a manufacturing plant

But hey, the company will pay workers and its workers are highly skilled (will deserve a high pay for their skills) so the company won't even make up to the above calculated profit in a year!

Now, owing to this situation - the situation whereby the expected revenue for the product is not so much above the cost of production - we prescribe CONCENTRATED or CENTRALIZED MANUFACTURING.

This is a case where just a single plant or manufacturing facility will be used to produce the microprocessors. Since the company is virtually just starting out, starting with one plant will be better for them. The customization of their product will be efficient here, as opposed to Decentralized manufacturing (where they'll use a number of plants).

Also, centralized/concentrated manufacturing reduces production cost per unit of the good.

The cost of production is also relatively lower and there is almost no leakage in the utility of resources at the plant because that is the only plant the company has. There'll b maximum utility of facilities and resources.

(B) What kind of locations should the firm favour for its plants??

Here, we consider the fact that the prevailing tariffs in this industry are currently low.

This means that we can focus on other things like:

Nearness of the plant to source of raw materials

Nearness to the required kind of labour (highly skilled labour)

Proximity to consumers (those who purchase the product)

Of these and more factors, I prescribe nearness to highly skilled labour. If raw materials also happen to be in the same region as the required workforce, that is a plus to the company.

The company will hence be better of with a Concentrated manufacturing strategy and a location that favours lower cost of factors of production (land, labour, capital, entrepreneurship)

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2 years ago

Which spreadsheet type will determine how well a business has done over the past year?

Scilla [17]

A profit and loss statement will determine how well a business has done over the past year.The profit and loss statement is a financial statement which shows revenue, costs and all expenses that happened during a said period of time. Most companies do this quarterly or yearly.

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2 years ago

Read 2 more answers

Fill in the blanks in the balance sheet of a bank based on the following​ information:

Fill in the blanks in the balance sheet of a bank based on the following information: