If a customer deposits $300 cash in a checking account, the bank's:
a) liabilities increase by $300.
b) assets decrease by $300.
c) liabilities decrease by $300.
d) liabilities stay the same.
Ans: a) liabilities increase by $300.
You might also like to view...
Starting from long-run equilibrium, a large tax cut will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; higher; higher B. expansionary; higher; potential C. recessionary; higher; potential D. recessionary; lower; lower
By 1913, steel making by Bessemer converter had been completely surpassed by
(a) continuous casting integrated mills. (b) the Basic Oxygen furnace. (c) electric furnaces. (d) open hearth furnaces.
According to the shortrun (specificfactors) model, how will FDI affect the marginal productivity of labor in the recipient nation?
a. The MPL will rise in the production of both the labor and capitalintensive goods. b. The MPL will rise only in the production of the labor intensive good. c. The MPL will rise only in the production of the capitalintensive good. d. The MPL will fall in the production of both the labor and capitalintensive goods.
Joe's Butcher Shop is producing where MR = MC; Joe's Butcher Shop must be
A. earning a zero economic profit. B. maximizing revenue but not maximizing profits. C. maximizing profits. D. incurring a loss.