Consider the balance sheet of the following bank.

                                           Chase

     ------------------------------------------------------------------------------

     Reserves        3000       Checkable Deposits      5000

     Loans             7000       Savings and Time Deposits 8000  

     Bond Holdings      4000      Equity               1000

     Using balance sheets, show all the balance sheet steps of Chase making a loan of $1000. Provide a brief explanation for each step and assume that the loan check is re-deposited in another bank (provide a balance sheet for that bank as well). Verify how the money supply (M2) changes as a result

Depreciation is a tough concept since there may be so many factors associated with it. The IRS changes the tax deductions given for depreciation on a regular basis. On a larger purchase the tax deduction may be significant. How much of a factor do you think depreciation should be on the decision to move forward with a project? For example, if the tax benefit is greater in the following year, should management hold off on the purchase? Do you feel that managers understand this concept well enough to include it in their decision making process?

1) Which of the following is a not a key assumption of the Keynesian school of macroeconomics?

Select one:

A. Prices and wages are relatively inflexible

B. Expectations are relatively slow to adjust

C. Demand management can be used to smooth the business cycle

D. The main role of government policy should be to remove impediments to free markets

2) The idea that some economic changes are difficult to reverse is called:

Select one:

A. Stagflation

B. Deflation

C. The expectations-augmented Phillips curve

D. Hysteresis

1) Consider a small country whose actions does not affect the world interest rate. Draw a loanable funds market for the country and analyze how Net Export and Net Capital Outflow changes when the following happens. Draw different graphs for each case.

a) The country’s government implements a policy to lower income taxes while keeping the government budget unaffected

b) The US (a powerhouse in the World market) implements a contractionary monetary policy to raise interest rate

Please explain the law of demand and law of supply with your good examples. Also explain all the changes that happen to the equilibrium price and quantity with numeric examples, when,

a. Demand curve shifts (to right and left)

b. Supply curve shifts (to right and left)

c. Both demand and supply curves move to the right at the same time

d. Both demand and supply curves move to the left at the same time

e. Explain with example the difference between change in demand and change in quantity demanded.

Suppose government puts a tax on investment at rate τ. That is, you get only 1 − τ apple tree next period if you invest one apple this period. Derive the investment demand equation. What would be the effect of this tax on net exports and real exchange rate in an open economy in long run and very-long run? Explain in detail by showing the changes in the relevant markets.

Seriously?! thats how the question is asked in the assignment! i expect an answer for this asap!

Two systems are in oscillation: a simple pendulum swinging back and forth through a very small angle and a block oscillating on a spring. The block-spring system takes twice as much time as the pendulum to complete one oscillation. Which of the following changes could make the two systems oscillate with the same period?

A. Increasing the mass of the pendulum bob

B. Increasing the angle through which the pendulum swings by a small amount

C. Decreasing the mass of both the block and the pendulum bob

D. Shortening the pendulum

World oil prices have been rapidly swinging over the last few years, in part because of the declining value of the U.S. dollar, changes in supply and demand, and OPEC’s attempts to manage output in order to maintain higher prices. (OPEC stands for the Organization of Petroleum Exporting Countries)

As the president of an oil producing and exporting company in Alberta:

• Explain how you may use hedging to protect your company’s income.
• Share a recent publication with your fellow students and your instructor.

Use the money market model to conduct the following analysis. For each of the following events, (i) say which curve shifts, (ii) say in which direction it shifts, and (iii) say in which direction the equilibrium interest rate changes.

a. Stock prices fall significantly.

b. The U.S. price level rises.

c. The Fed engages in an open market sale of bonds.

d. Credit card fraud becomes a major problem and people start making more payments using money.

(1) Define attribute sampling and discuss why tests of controls tend to be attribute samples.

(2) define sampling risk and non-sampling risk as well as differentiate between these concepts.

(3) define each of the following parameters used in calculating sample size and explain how changes in each parameter affect sample size.

a. Confidence level

b. Tolerable deviation rate

c. Expected deviation rate

(4) What are some factors that auditors use in setting their confidence level?