because it needs to use it
the three tools the Federal Reserve uses to enact monetary policy are setting the interest rate charged to commercial banks on loans from the Federal Reserve. Setting the reserve rate. The buying and selling of Treasury bonds and other government-backed securities
the portion of a deposit that a bank must keep on hand
The Federal Reserve Bank of New York is not a publicly traded company and therefore does not have a ticker symbol.
Well, if by "the federal reserve", you mean the federal reserve bank, then there are two types of policies. These are expansionary and contractionary monetary policies. In times of recession, The FED uses expansionary policies such as increasing the money supply by buying bonds, lowering the discount rate, and lowering reserve requirements.In times of over expansion, The FED uses contractionary policies such as decreasing the money supply by selling bonds, raising the discount rate, and raising reserve requirements.
YES RETAINED EARINING ARE ADDED TO THE EXISTING RESERVE OF THE COMPANY
When debentures are redeemed payment is made from a reserve which is created at the time of purchase of such debentures,therefore at the time of payment first it is transferred to general reserve then as it is expenditure to company.
General Reserve, in short is the part of reserve amount kept by the company out of its profits for future purpose. Example, if the company might not expect any contingencies or unforseen happenings in the future. Usually, companies keep 20% aside the general reserves out of the total profit earned for a particular year or a certain period.
The revenue reserve is the retained earnings which are shown in the company's balance sheet as part of the shareholders' funds and are set aside to use to continue to pay dividends even if the company makes a loss. The example of the revenue reserve are the credit balance of the Profit and Loss Account, General Reserve and etc...
how can we increase the general reserve
Amalgamation reserve means the expenses bear by Transferee company for amalgamation with Transferor company is treated as reserve, this reserve is called as amalgamation reserve
General Electrics. They use the GE.
General Motors or GM
General reserves are part of profit of the company for usable in future so it is the liability of company and shown in liability side of balance sheet.
differentiate between general and specific reserve?
After redemption of debentures, debenture redemption reserve is to be transferred to general reserve.
State General Reserve Fund was created in 1980.
'GM' , or General Motors .