2-2 Describe the different ways in which capital can be transferred from suppliers of capital to
those who are demanding capital.What would happen to the U.S. standard of living if people lost faith in the safety of the financial institutions? Explain. What types of changes have financial markets experienced during the last two decades? Have they been perceived as positive or negative changes? Explain.

Harry has written some cool, new computer software called Puccini, which gives smartphones a simulated AI capability. (Puccini and iPhone’s Siri are rumored to be dating.) Ordinary consumers are amazed, but computer software developers think that any coder could have some up with the idea. Harry runs down to the US Patent and Trademark Office (USPTO) for a utility patent. Is he likely to have his application approved?

Select one:

a. No: not novel

b. No: not useful

c. No: not nonobvious

d. Yes

Charlie and Alexandra are running around a circular track with radius 60 meters. Charlie started at the westernmost point of the track, and, at the same time, Alexandra started at the northernmost point. They both run counterclockwise. Alexandra runs at 4 meters per second, and will take exactly 3 minutes to catch up to Charlie.

Impose a coordinate system with units in meters where the origin is at the center of the circular track, and give the x- and y-coordinates of Charlie after one minute of running. (Round your answers to three decimal places.

A local group of concerned citizens is dissatisfied with what it calls outrageous rate hikes by the electric utility company. Its solution is to have the elected city council operate an electric utility company instead of using the private one. Suppose the group gets its wish—the city council now runs the utility. Cite and discuss 2 externalities which might arise from this situation. Include a clear statemen of the primary activity from the city council. Keep this simple—ignore ownership transfer and similar issues.

[jAVA] Assume the following array is defined and initialized (it will already contain numbers before your code runs):

public static void main( String [ ] args ) {

int [ ] numbers = . . . ; // An array of integers

1) Provide code that will print the entire contents of numbers in reverse order (from the end to the beginning)

2) Provide code that will print true if the numbers are in strictly ascending order (that is, if starting from the start of the array each item has a larger value than the one that came before it) and print false otherwise.

Game of Tic Tac Toe with the following conditions

A point system where a  move that leads to a winning game is given 1 point, a move that leads to a tie is given 0 point, and a  lead to a losing game will get -1 point.

Grid size of 5x5

A timer that can be set for how long a game can be played

5 symbols in a row to get a point

Connected lines cannot be crossed (No diagonal lines)

The game ends when there is a tie or the timer runs out

The winner is the one with the most

1. What would the EP weight be for a 40 lb roast if 7 lb 4 oz are lost through trimming and cutting. Calculate the AP, EP and W percentages. How many 6 oz servings can you get from the EP weight?

AP weight: _________ AP%: __________ EP weight: _________ EP%: __________ W weight: _________ W%: __________ Number of Servings: ________

2. What would the EP weight be for a roast weighing 40 lb and a waste percentage of 18.06%? Calculate the remaining weights and percentages. How many 8 oz servings will you get from the EP weight?

AP weight: _________ AP%: __________ EP weight: _________ EP%: __________ W weight: _________ W%: __________ Number of Servings: ________

Please state which function of money is being used by each of the following activities: Unit of Account (Standard of Value, Medium of Exchange or Store of Value.  Please explain the reasoning behind each answer.

(a) Brenda puts $600 into her cookie jar for a rainy day.

(b) Brenda records the money she has spent on gasoline this year.   

(c) Brenda buys a $100 Savings Bond.

(d) Brenda uses $2,400 to pay her rent.

2. (4 points)

(a) Please state what assets are part of the money measurement called M1.

(b) Please state what assets are part of the money measurement called M2

3. (8 points) Explain what impact each of the following actions has on M1 and M2 both.

Please give the reasoning for each answer.

(a) Mary puts $400 in cash into her Savings Account.

(b) Sam transfers $40 from his Checking Account into his Savings Account.

(c) Chen takes $60 out of his Savings Account at the ATM machine.

(d) Brenda puts $50 in cash into her cookie jar at home for a rainy day.

4. (3 points)

(a) Assume that a one year bond that has no interest coupon payment with a maturity value (face value) of $2,000 sold for $1,700. Show the interest rate that this bond will pay when it matures.

(b) If the prices of similar bonds are selling next month for $1,900, show the interest rate that these bonds pay when they mature.

(c) Based on your answers in (a) and (b) above, describe the relationship between the price of bonds and the interest rate.

5. (10 points)

Your friend owns a cabin in the mountains in Big Bear California that he inherited from his mother. Your friend likes to visit that cabin during the year whenever he wants to. Thus, he leaves it vacant when he is not there. Your friend says that it is an inexpensive way to have short vacations: visit a place he owns.

Please explain why your friend is wrong in stating that this is an inexpensive way to have short vacations.

6. (3 points)

(a) Please provide a description of Bank Runs.

(b) Explain the main cause of Bank Runs.

(c) Why do you think we no longer see many Bank Runs today.

7. (10 points)

Please explain what backing U.S. Federal Reserve Notes have today and why people accept them for payment for goods and services.

8. (Question 8 has two parts)

Part 1 of Question 8 (12 points)

Below is the Balance Sheet for the Bank of Upland as of October 1, 2017. The required reserve ratio is 5%. Using this information and the Balance Sheet below answer the following questions.

(a) Calculate the Bank of Upland’s Total Reserves as of October 1, 2017 (please show/explain how you got your answer)

b) Calculate the Bank of Upland’s Required Reserves as of October 1, 2017 (please show/explain how you got your answer).

c) Calculate the Bank of Upland’s Excess Reserves as of October 1, 2017 (please show/explain how you got your answer).

d) Determine the amount of Bank of Upland’s Total Reserves which can legally be loaned out as of October 1, 2017 (please show/explain how you got your answer).

e) Calculate the Bank of Upland’s Money Creating Potential throughout the entire Banking System as of October 1, 2017 (please show/explain how you got your answer).

Part 2 of Question 8 (17 points)

Start with the same Balance Sheet and required reserve ratio found in Part 1 above, and using the fact that the Federal Reserve had just sold $120 million worth of Treasury Bonds (T-bonds) to the Bank of Upland at the end of business on October 1, 2017 (no other transaction occurred at the Bank of Upland on October 1, 2017), answer the following questions.

a) Fill in the Bank of Upland’s Balance Sheet numbers as of the start of business on October 2, 2017 for the categories found below. Start with the numbers in Part 1 above and incorporate the fact that the Federal Reserve (using Open Market Operations) had just sold $120 million worth of Treasury Bonds (T-bonds) to the Bank of Upland. Using a Word Table might help.

b) Calculate the Bank of Upland’s Total Reserves as of October 2, 2017 (please show/explain how you got your answer).

c) Calculate the Bank of Upland’s Required Reserves as of October 2, 2017 (please show/explain how you got your answer).

d) Calculate the Bank of Upland’s Excess Reserves as of October 2, 2017 (please show/explain how you got your answer).

e) Calculate the Bank of Upland’s Money Creating Potential throughout the entire Banking System as of October 2, 2017 (please show/explain how you got your answer).

f) Explain the reason the Federal Reserve would Sell these T-bonds to the Bank of Upland and explain what the Federal Reserve is worried about. (In other words, what economic condition is the Fed trying to avoid and how would the bond purchase help the Fed to avoid this economic condition.)You must use numbers that you calculated above to support your answer to receive credit.

g) Explain how the Fed would use two other monetary tools to help support its Open Market Operation above. Explain how these tools would be used and how they would have an impact on the Marcoeconomy.

LCNRV and LCM

a. As of 12-31-18, Zena Company has four different inventory items on hand. Data on the four items follows:

Using the lower-of-cost-or-net realizable value approach applied on an individual-item basis, determine if Zena needs to make an entry to write her inventory down. If so, prepare the entry Zena should make.

b. As of 12-31-18, Bartle Company has four different inventory items on hand. Data on the four items follows:

* the % is a % of the expected selling price

Assume Bartle uses a LIFO costing method. Using the lower-of-cost-or-market value approach applied on an individual-item basis, determine if Bartle needs to make an entry to write her inventory down. If so, prepare the entry Bartle should make.