Suppose that the federal reserve makes a $10 million discount loan to first national bank (fnb) by increasing fnb’s account at the fed.
a. use a t-account to show the effect of this transaction on fnb’s balance sheet. remember that the funds a bank has on deposit at the fed count as part of its reserves.
b. assume that before receiving the discount loan, fnb has no excess reserves. what is the maximum amount of this $10 million that fnb can lend out?
c. what is the maximum total increase in the money sup- ply that can result from the fed’s discount loan? assume that the required reserve ratio is 10 percent

How will firms solve the problem of an economic surplus a. decrease prices to the market equilibrium price b. decrease prices so they are below the market equilibrium price c.increase prices

Individual consumers belong to which step of choosing a target market? possible customers competition demographics communication

Trecek corporation incurs research and development costs of $625,000 in 2017, 30 percent of which relate to development activities subsequent to ias 38 criteria having been met that indicate an intangible asset has been created. the newly developed product is brought to market in january 2018 and is expected to generate sales revenue for 10 years. assume that a u.s.–based company is issuing securities to foreign investors who require financial statements prepared in accordance with ifrs. thus, adjustments to convert from u.s. gaap to ifrs must be made. ignore income taxes. required: (a) prepare journal entries for research and development costs for the years ending december 31, 2017, and december 31, 2018, under (1) u.s. gaap and (2) ifrs. (c) prepare the entry(ies) that trecek would make on the december 31, 2017, and december 31, 2018, conversion worksheets to convert u.s. gaap balances to ifrs.