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What would happen if the U.S. Federal Reserve Bank were to increase the legal reserve ratio?
You would expect higer interest rates, a contracted GDP and depreciation of the dollar
What is the difference between currency depreciation and appreciation?
depreciation is the reduction in the value of an asset due to usage, passage of time, wear and tear, technological outdating or obsolescence, depletion, inadequacy, rot, rust, decay or other such factors. Appreciation is a term used in accounting relating to the increase in value of an asset.
What is the purpose of the reserve money that a bank keeps and does not lend out?
The purpose of the reserve money that a bank keeps and does not lend out is to ensure that the bank has enough funds to meet withdrawal demands from customers and to maintain stability in the financial system. This reserve requirement is set by regulatory authorities to safeguard against potential bank runs and to support overall economic stability.
What is an antonym for depreciation?
Appreciation is an antonym for depreciation.
What is exponential depletion of resources What is peaked depletion of resources What are the economic consequences of both models?
Exponential depletion of resources is a steady depletion of resources. This can cause slow raising prices for these resources. A peaked depletion of resources is a sudden depletion of resources that causes an extreme price raise.
What is the purpose of a reserve for depreciation and depletion?
To preserve the corpus for the remainder beneficiaries
What assets are not subject to amortization depreciation depletion?
Land is not subject to depreciation, depletion, or amortization.
What is the difference between depreciation and depletion?
Depreciation refers to the reduction in value of an item after some time. On the other hand, depletion is the exhaustion of materials that might not have a way of renewal.
Can investment depreciation reserve be considered as free reserve to compute as tier you or tier ii capital?
Investment deportation reserve not considered as free reserve
What is d d and a in oil and gas accounting?
DD&A stands for Depreciation, depletion & amortization.
Difference between provision for bad debt and reserve for bad debt?
Provisions and Reserves are the amount setaside out of profits. When the amount is set aside for a particular purpose it is called a provison. Examples for this is Provision for Baddebts and provision for Depreciation and Provision for Discounts on Debtors. when the amount is setaside for particular purpose is called a provision whereas Reserve is the amount setaside out of profit but not for particular purpose. In most cases provision is incorrectly described as Reserve. One cannot create Reserve for baddebts.
What is reserve depreciation?
Accumulated depreciation which is not shown in income and expenditure account as expenditure and the same is included in the net profit and shown separately as depreciation reserved fund while adding it in the capital fund.
Is depreciation tax deductible?
Not, depreciation is not deductible for tax purpose. Because it is not wholly exclusively in production
What is depreciation reserve fund?
Accumulated depreciation which is not shown in income and expenditure account as expenditure and the same is included in the net profit and shown separately as depreciation reserved fund while adding it in the capital fund.
Where does reserve for depreciation go on the balance sheet?
accumulated depreciations are recorded in the liability side of the balance sheet as a deduction from concerned assets. it also shows in the debit side of profit and loss account as an expence
How would you define depreciation?
For anything other than land, which is not allocated, the reclassification of tangible assets is called depreciation (for anything other than natural resources) or depletion (for natural resources) expense.
Is homeowners depreciation check's purpose to cover repairs?
No. depreciation is compensation for a loss of value. You can make repairs or do whatever you choose with it.
