Valdez Company sold land that had cost $48,000 for $60,000 cash. Which of the following statements is true about this transaction? a. The $12,000 gain would be subtracted from net income in the operating activities section using the direct method.
b. $48,000 would appear as a cash inflow from investing activities and $12,000 would be added in the operating activities section using the indirect method.
c. $60,000 would appear as a cash inflow from investing activities.
d. The $12,000 gain would be subtracted from net income in the operating activities section prepared using the indirect method and $60,000 would be reported as a cash inflow from investing activities.

Select the correct answer. after the 2008 recession, the amount of reserves in the us banking system increased. because of federal reserve actions, required reserves increased from $44 billion to $60 billion. however, banks started holding more reserves than required. by january 2009, banks were holding $900 billion in excess reserves. the federal reserve started paying interest on the excess reserves that the banks held. what possible impact will these unused reserves have on the economy? a. the interest rate on loans will fall. b. people will demand more foreign goods. c. people will start borrowing more money. d. the economy will face inflation. e. foreign investments will increase.