Which of the Following Actions by the Fed Would Lead

question 171

Multiple Choice

Which of the following actions by the Fed would lead to an increase in the money supply?

• A) an increase in the required reserve ratio
• B) an increase in the differential between the discount rate and the federal funds rate
• C) an increase in tax rates
• D) the purchase of government securities

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Operating Income

The profit realized from a business's core operational activities, excluding deductions of interest and taxes.

Telescope Manufacturing

The industry involved in designing, producing, and distributing optical telescopes, equipment used to observe distant objects by collecting electromagnetic radiation.

Horizontal Analysis

A financial analysis technique that compares line items in financial statements over a series of periods to identify trends.

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The total revenue from sales of goods or services, minus returns, allowances, and discounts.