Daylight Overdrafts Occur

question 16

Multiple Choice

Daylight overdrafts occur:

• A)When a bank's Federal Reserve account is positive during the day
• B)When a bank's Federal Reserve account is negative during the day
• C)Mainly because of international funds transfers of government securities transactions
• D)'a' and 'c'
• E)'b' and 'c'

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Definitions:

Diseconomies of Scale

The phenomenon where, beyond a certain point, the cost per unit increases as a company continues to grow in size and output.

Per-Unit Cost

The average cost for each product produced, calculated by dividing the total production costs by the total units produced.

Output

The total quantity of goods or services produced by a firm, sector, or economy within a certain period of time.

Explicit Costs

Payments by a firm to purchase the services of productive resources.