Blog

A new financial regulation requires banks to hold a larger percentage of their deposits as reserves. This regulation is intended to increase the stability of the banking system. What is the likely impact of this regulation on the money-creation process and the broader economy?

How does expansionary monetary policy (Open Market Operations) increase AD?

Which of the following is NOT a concern when creating a fiscal policy plan for the United States?

Which of the following would be an appropriate response of the Federal Reserve to an inflationary gap (real GDP above potential)?

What are three common features of a recession?

Which question would best suit the following statement? An employee of the Bureau of Labor Statistics is trying to determine how many people are out of work due to an economic downturn.

Which types of unemployment are part of the natural (or normal) rate of unemployment?

16. Which client is most appropriate for the use of a patient-controlled analgesia (PCA) device with opioid medication following surgery?

You decide to buy a house for a total of $[a]. To get a mortgage loan, you make a 10% down payment, and the bank will lend you the rest. The interest rate quoted for this loan is [i]% APR, and the loan will be paid (and interest compounded) every month, for the next 30 years. How much will you pay in INTEREST on your very first monthly mortgage payment? Enter your answer in dollars, rounded to the nearest cent (2 decimals), and without the dollar sign (‘$’). For example, if your answer is $123,456.789, just enter 123456.79

Pettijohn Inc.The balance sheet and income statement shown below are for Pettijohn Inc. Note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over. Balance Sheet (Millions of $)   Assets 2016 Cash and securities $  1,554.0 Accounts receivable 9,660.0 Inventories   13,440.0 Total current assets $24,654.0 Net plant and equipment   17,346.0 Total assets $42,000.0 Liabilities and Equity   Accounts payable $  7,980.0 Notes payable 5,880.0 Accruals     4,620.0 Total current liabilities $18,480.0 Long-term bonds   10,920.0 Total liabilities $29,400.0 Common stock 3,360.0 Retained earnings     9,240.0 Total common equity $12,600.0 Total liabilities and equity $42,000.0     Income Statement (Millions of $) 2016 Net sales $58,800.0 Operating costs except depr’n $55,274.0 Depreciation $  1,029.0 Earnings bef int and taxes (EBIT) $  2,497.0 Less interest     1,050.0 Earnings before taxes (EBT) $  1,447.0 Taxes $     314.0 Net income $  1,133.0 Other data:   Shares outstanding (millions) 175.00 Common dividends $   509.83 Int rate on notes payable & L-T bonds 6.25% Federal plus state income tax rate 21.7% Year-end stock price $77.69   Refer to the data for Pettijohn Inc. What is the firm’s market-to-book ratio?