Bank a pays 10% interest compounded annually on deposits, while bank b pays 9% compounded daily. a. based on the ear (or eff%), which bank should you use? you would choose bank a because its ear is higher. you would choose bank b because its ear is higher. you would choose bank a because its nominal interest rate is higher. you would choose bank b because its nominal interest rate is higher. you are indifferent between the banks and your decision will be based upon which one offers you a gift for opening an account.

Assume that the following conditions exist: a. all banks are fully loaned up- there are no excess reserves, and desired excess reserves are always zero. b. the money multiplier is 5 .     c. the planned investment schedule is such that at a 4 percent rate of interest, investment =$1450 billion. at 5 percent, investment is $1420 billion. d. the investment multiplier is 3 . e.. the initial equilibrium level of real gdp is $12 trillion. f. the equilibrium rate of interest is 4 percent now the fed engages in contractionary monetary policy. it sells $1 billion worth of bonds, which reduces the money supply, which in turn raises the market rate of interest by 1 percentage point. calculate the decrease in money supply after fed's sale of bonds: $nothing billion.

True or false entrepreneurs try to meet the needs of the marketplace by supplying a service or product

Salaries are $4,500 per week for five working days and are paid weekly at the end of the day fridays. the end of the month falls on a thursday. the accountant for dayton company made the appropriate accrual adjustment and posted it to the ledger. the balance of salaries payable, as shown on the adjusted trial balance, will be a (assume that there was no beginning balance in the salaries payable account.)