The average daily net transaction accounts balance of a local bank during the most recent reserve computation period is $325 million. The amount of average daily reserves at the Fed during the reserve maintenance period is $22.6 million and the average daily vault cash corresponding to the computation period is $4.3 million. 1. What is the average daily reserve balance required to be held by the bank during the maintenance period?
2. Is the bank in compliance with the reserve requirements?
3. What amount of reserves can be carried over to the next maintenance period either as excess or as shortfall?
4. If the local bank has an opportunity cost of 6 percent and deposits at the Fed pay 0.5 percent, what is the effect on the income statement from this reserve period?

Suppose the marginal damage and marginal benefit curves in a polluted neighborhood are md = p/3 and mb = 4 – p. also, suppose that transactions costs are low, so that the consumers and the firm can bargain. we saw that in this case, the socially-optimal level of pollution is achieved. start by computing the socially-optimal p. then, for each of the following cases, compute the amount of money transferred through the bargaining process, and indicate who pays whom (i.e., whether consumers pay the firm, or vice versa). also, compute the gains to each party relative to the status quo (i.e., the starting point of the bargaining process).a)consumers have the right to clean air; firm is dominant in the bargaining process.b)consumers have the right to clean air; consumers are dominant in the bargaining process.c)firm has the right to pollute; firm is dominant in the bargaining process.d)firm has the right to pollute; consumers are dominant in the bargaining proces

Which of the following is not an example of one of the four mail advantages of prices on a free market economy

You should do all of the following before a job interview except