1.) Assume a financial system has a monetary base of $25 million. The required reserves ratio is 10 percent, and there are no leakages in the system. A. What is the size of the money multiplier? B. What will be the system’s money supply? 2.) Obtain a current issue of the Federal Reserve Bulletin, or review a copy from the Fed’s web site (http://www.federalreserve.gov) or the St. Louis Fed’s Web Site (http://www.stlouisfed.org), and determine the changes in the prime rate that have occurred since the end of 2000. Comment on any trends in the data. 3.) Find the NPV and PI of a project that costs $1,500 and returns $800 in year one and $850 in year two. Assume the project’s cost of capital is 8 percent. 4.) AA Auto parts company has a corporate tax rate of 34 percent and depreciation of $19,180. Compute its depreciation tax shield.

Looking for solution of this Assignment?


We deliver quality original papers

Our experts write quality original papers using academic databases.  

Free revisions

We offer our clients multiple free revisions just to ensure you get what you want.

Discounted prices

All our prices are discounted which makes it affordable to you. Use code FIRST15 to get your discount

100% originality

We deliver papers that are written from scratch to deliver 100% originality. Our papers are free from plagiarism and NO similarity

On-time delivery

We will deliver your paper on time even on short notice or  short deadline, overnight essay or even an urgent essay