Answer:
The explanation is below.
Explanation:
Having an insurance for a business transfers the risk to a third party (insurance company).
The importances are as follows:
1. The risk or uncertainty of business losses is minimized. Through the premium paid to the insurance company, if any unforeseen circumstances happen to the business that is covered in the insurance policy, then the insurance company will reimburse the company.
2. Business continuity. Through insurance, any disruption will not lead to the business being folded-up.
3. Collateral for loan. The policy with the insurance company can be used as a collateral to secure a loan in a bank.
Monetary policy refers to Question 23 options: actions taken by banks and other financial institutions regarding their approaches to lending, account management, etc. changes in the money supply to achieve particular economic goals. changes in government expenditures and taxation to achieve particular economic goals. the change in private expenditures that occurs as a consequence of changes in the money supply.
Answer:
changes in the money supply to achieve particular economic goals.
Explanation:
Monetary policy can be defined as the actions (macroeconomic policies) adopted and undertaken by the central bank of a particular country (Federal Reserve System in the United States of America) to control the money supply and interest rates so as to boost or enhance economic growth.
Basically, monetary policies are used by the central bank to manage inflation, economic growth through long-term interest rates and level of unemployment in a country. In order to boost economic growth, the national government through its central bank introduces monetary policy to increase money supply (liquidity). Also, a monetary policy can be used to prevent inflation through the reduction of money supply at a given period of time.
Furthermore, money supply comprises of checks, cash, money market mutual funds (MMF) and credit (mortgage, bonds and loans).
In conclusion, monetary policy refers to changes in the money supply adopted by the central bank to achieve particular economic goals.
explain the meaning of personal account,real account and nominal account,give five examples each
Answer:
An example of a Real Account is a Bank Account. A Personal account is a General ledger account connected to all persons like individuals, firms and associations. ... A Nominal account is a General ledger account pertaining to all income, expenses, losses and gains. An example of a Nominal Account is an Interest AccountA facility presents an ABN to a patient in the emergency room who is considered critical after a medical screening exam. The service performed may be noncovered by Medicare based on the diagnosis. The patient signs the ABN. The patient is stabilized and is placed in observation care for 48 hours and then sent home. Medicare denies the service based on frequency limits. Which of the following is most correct?
a. Facility may not bill the patient because two witnesses did not sign the ABN.
b. Facility may not bill the patient because the ABN is defective.
c. Facility may bill the patient for the services because the patient has had the service more frequently than Medicare considers necessary.
d. Facility may bill the patient for the services because the ABN was signed.
True or false: A reduction of the deferred revenue account can be interpreted as a leading indicator of lower future revenues. Explain False. Revenue is recognized when the deferred revenue liability increases. If the deferred revenue account has decreased, more cash came in from customers and more revenue will be recognized in the future. True. Revenue is recognized when the deferred revenue liability decreases. If the deferred revenue account has decreased, less cash came in from customers and less revenue will be recognized in the future. False. Revenue is recognized when the deferred revenue liability decreases. If the deferred revenue account has decreased, less cash came in from customers and more revenue will be recognized in the future. True. Revenue is rec
Answer: True
Explanation:
Revenue is recognized when the deferred revenue liability decreases. If the deferred revenue account has decreased, less cash came in from customers and less revenue will be recognized in the future. Which proves that a reduction of the deferred revenue account can be interpreted as a leading indicator of lower future revenues.
假設你目前正經營一項事業，你預計將在海外開設一個營運據點。 1. 請自行設定你的事業內容，並予以說明。 2. 請自行設定你預計在海外何處開設營運據點，以及營運據點的功能為何（如負責銷售或生產）。請說明你的設定，以及解釋為何選擇在該國設置據點。 3. 請蒐集資料分析在你所選擇的國家設置營運據點，在營運時，可能需要注意的政治風險有哪些，對你的事業可能會產生什麼樣的影響？ ※政治風險包含的層面很廣，包含當地政府對於資金匯回的管制、匯兌管制、對污染及勞工權益的態度、對外國企業的額外賦稅規定、當地消費者的態度（如傾向於買國貨）、當地政府的運作不效率或腐敗，以及戰爭等。
the question is
Suppose you are currently running a business and you expect to open an operating base overseas. 1. Please set your own business content and explain it. 2. Please set yourself where you plan to open an operation base overseas and what the functions of the operation base are (such as responsible for sales or production). Please explain your settings and explain why you chose to set up a base in this country. 3. Please collect data and analyze the establishment of an operating base in the country of your choice. What are the political risks that you may need to pay attention to when operating, and what impact may it have on your business? ※Political risks include a wide range of levels, including local government's control of fund repatriation, exchange control, attitudes to pollution and labor rights, additional tax regulations for foreign companies, and local consumers' attitudes (such as tending to buy domestic products) , Inefficiency or corruption of local government operations, and wars.
Three sisters are interested in forming a business together. They have three initial concerns: How to maximize their benefits from the fact that the business is not expected to earn money for at least the first 2 years Making sure that the business will be able to continue in the event one or two of the sisters dies Minimizing their personal liability for the obligations of the business On the basis of the sister's concerns, which form of business is appropriate for the situation
Answer:
Limited liability company
Explanation:
A limited liability company is one that the owners are not personally liable for the business. Rather the company is a legal entity on its own and can be sued legally as a sepearte entity from its owners.
It combines features of a corporation and a partnership or sole proprietorship.
This will be the best type of business given that the business will not be expected to earn for the first two years. The sisters will not be personally liable for any debt incurred.
Also the business will continue even if only one of the sisters remains.
So an LLC is the best option for them.
Angelo was all set to start his new business. Although he did not have as much cash as he would have liked, he figured that once the business got going, the cash generated from sales would keep the business running. He was surprised, however, that sales weren't as strong as he thought and now he is cash-strapped. Angelo is experiencing a common problem known as ______.
Answer:
The answer is undercapitalization
Explanation:
It is evident that the business is undercapitalized. Undercapitalization is a situation when a company/firm does not have enough or the needed funds to run the business operations or pay his creditors.
Angelo is undercapitalized because her sales are not generating the needed cash flows coupled with her inadequate capital. So she needs to raise enough capital or develop new strategy to increase her sales.
Orange, an online-gaming site, has millions of users. The site has many games which pit users against each other. The relative standing of each user is presented in the form of an elaborate ranking system for each game. Users pride themselves on gaining the highest points and the highest rank possible. This rise in user participation has increased the value of Orange significantly. This is an example of ________.
Answer:
C) network effects
Explanation:
Theses are the options for the question
A) monopolistic competition
B) internal marketing
C) network effects
D) guerilla marketing
From the question we are informed about Orange, which is an online-gaming site, has millions of users. The site has many games which pit users against each other. The relative standing of each user is presented in the form of an elaborate ranking system for each game. Users pride themselves on gaining the highest points and the highest rank possible. This rise in user participation has increased the value of Orange significantly. This is an example of network effects. The network effect can be regarded as phenomenon which occur as a result of increased numbers of people or increase in participants improvement about the value of a good or service. One of the example of this effect is Internet. Initially, there were few number of users on the Internet, because people do not see much value then , it was some military and some research scientists that values it, but now almost everyone values it.
Calculate the forward rate for (i) the second year; (ii) the third year; (iii) the fourth year. (Do not round intermediate calculations. Round your answers to the nearest whole percent.) Maturity (years) Price of Bond 1 $ 943.40 2 898.47 3 847.62 4 792.16
Answer:
Bond 1 : 4.38%
Bond 2 : 5.91%
Bond 3 : 6.07%
Bond 4 : 7.21%
Explanation:
The face value of the bond is assumed to be $1,000
Price of Bond 1 : 943.40 = 1000 / (1 + x1) ^1
x1 = 4.38%
Price of Bond 2 : 898.47 = 1000 / (1 + x1) ^2
x1 = 5.91%
Price of Bond 3 : 847.62 = 1000 / (1 + x1) ^3
x1 = 6.07%
Price of Bond 1 : 792.16 = 1000 / (1 + x1) ^4
x1 = 7.21%
Discuss the meaning of taxation
Answer:
the meaning of taxation is the levying of tax.
An economy produces wind turbines, pizza, automobiles, and haircuts. Consumers purchase pizza and haircuts, as well as T-shirts made in another country. Firms purchase wind turbines, as well as x-ray machines made in another country. The government purchases automobiles. An increase in the price of x-ray machines will increase the _____ price index. An increase in the price of T-shirts will increase the _____ price index.
Answer:
An increase in the price of x-ray machines will increase the _Inflation____ price index. An increase in the price of T-shirts will increase the __Inflation___ price index.
Explanation:
Given -
The price of the X ray machine and the T-shirt is rising and people's income is stable. In this scenario, the purchasing ability of a person declines and he/she will not be able to buy these two commodities thereby increasing the inflation price index.
An increase in the price of x-ray machines will increase the _Inflation____ price index. An increase in the price of T-shirts will increase the __Inflation___ price index.
One could argue that selecting an account with minimal fees is more important than selecting a savings account based on interest rate right now. Why might this be true?
Answer: EASYYY PEASYYY AHEM UWU
Explanation:
A checking account is a bank account you can write checks from, or access several other ways, which tends to make it your go-to, daily transaction bank account. A savings account is where you stash funds that you aren't ready to use yet, often with the goal of accumulating more.
Saving account are bank account which are used the for benefit of interest accrued on capital being saved therein.
However, there are operation charges on the saving account which might deplete the real amount of interest been accrued.Using a checking account have no or minimal fee, so they are seen as alternative to saving account because of charges.In conclusion, people might prefer checking account over saving account during this period because interest rate on saving rate are low which will might make operation charges deduct from interest amount till negative.
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Which of the following statement about capital market stakeholders is true Group of answer choices oftentimes capital market stakeholders, product market stakeholders, and organizational stakeholders disagree with each other Offering cash dividends to stockholders will please all the capital market stakeholders within groups, capital market stakeholders are always agree with each others for all the firms, capital market stakeholders are the most important stakeholders for firms to cater to
Answer: Often times capital market stakeholders, product market stakeholders, and organizational stakeholders disagree with each other
Explanation:
The various stakeholders a company will often times find that they are clashing with each other as they try to push their agenda at the expense of other stakeholders.
Capital market stakeholders for instance, provide capital to the business and so would prefer if it kept costs as low as possible so that they the capital providers can get an adequate return. Product market stakeholders such as suppliers would be trying to increase their prices so as to make more money and this would go against the wishes of the capital providers leading to a disagreement between both classes.
Which of the following is an example of a specific purpose? A. I want my employees to understand and follow the new dress code policy. B. I want to persuade my team. C. I would like ABC Company to select us as the bank to serve their employees' banking needs. D. a and c
Answer:
D. a and c
Explanation:
I hope it helps.
MY FINAL QUESTION 80 POINTS! TAKE your time :) Look at image below
Task3
Your Blog
Evaluate your blog using the data analytics provided in the blog-hosting service. Then, create a report that summarizes your blog activities.
Investigate and analyze your blog activities. You will understand how blogs can be effective and what are the challenges involved in creating effective blogs and social media platforms. Use graphics, charts, and other forms of visual data to analyze your blog activities.
Explanation:
Understand your audience. ..Create your blog domain. ...Customize your blog's theme. ...Identify your first blog post's topic. ...Come up with a working title. ...Write an intro (and make it captivating). ...Organize your content in an outline. ...Write your blog post!this is the guidence how to make blog
I hope u find this helpful
Assume the market value of Fords' equity, preferred stock, and debt are$6 billion, $2 billion, and $13 billion, respectively. Ford has a beta of 1.7, the market risk premium is 8%, and the risk-free rate of interest is 3%. Ford's preferred stock pays a dividend of $4 each year and trades at a price of $30 per share. Ford's debt trades with a yield to maturity of 8.0%. What is Ford's weighted average cost of capital if its tax rate is 30%
Answer:
Explanation:
Cost of equity (Re) = Risk free rate + Equity rate*Market risk premium
Cost of equity (Re) = 0.03+(1.7*0.08)
Cost of equity (Re) = 0.03 + 0.136
Cost of equity (Re) = 0.166
Cost of preferred stock (Rpfd) = Dividend/stock price
Cost of preferred stock (Rpfd) = 4/30
Cost of preferred stock (Rpfd) = 0.1333
==> 6 billion + 2 billion + 13 billion = 21 billion
Debt % = 13 billion / 21 billion = 0.619 \
Equity % = 6 billion / 21 billion = 0.286
Preferred stock % = 2 billion / 21 billion = 0.095
Debt capital (Rd) = Its comes from yield to maturity of 8%
Tax rate= 30%
WACC = Re*E% + Rpfd*P% + Rd(1-Tc)D%
WACC = (0.166)*(0.286) + (0.1333)*(0.095) + (0.08)*(1-0.3))*(0.619)
WACC = 0.047476 + 0.0126635 + 0.034664
WACC = 0.0948035
WACC = 9.48%
So, Ford's weighted average cost of capital is 9.48%
elect a product or service to sell.
Now determine the target market for your product or service by answering the following questions in a table:
Are your target customers male or female?
How old are they?
Where do they live? Is geography a limiting factor for any reason?
What do they do for a living?
How much money do they make? This is important if you are selling expensive or luxury items.
What other aspects of their lives matter? For example, do they need to be homeowners?
Now, identify your product or service and explain what your target market is and why.
Answer:
what is your main question
Which of the following is NOT one of Modigliani and Miller's set of conditions referred to as perfect capital markets?
A. All investors hold the efficient portfolio of assets.
B. There are no taxes, transaction costs, or issuance costs associated with security trading.
C. A firm's financing decisions do not change the cash flows generated by its investments, nor do they reveal new information about them.
D. Investors and firms can trade the same set of securities at competitive market prices equal to the present value of their future cash flows.
Answer:
c
Explanation:
here are their assumptions
All expectations on expected cash flows are homogenous bonds and shares are traded in perfect markets - there are no transaction costs. two investments with identical cash flows, terms and risk must trade at the same price investors can borrow and lend at the risk free rate there are no agency cost investing and financing decisions are independent of each otherThe option, NOT one of Modigliani and Miller's set of conditions often referred to as perfect capital markets, is A. All investors hold the efficient portfolio of assets.
Modigliani and Miller's theory is based on the assumptions that there are no taxes, transaction, issuance, and bankruptcy costs in security trading. It relies on the symmetry of market information and the same borrowing cost for investors and companies. These assumptions do not apply in the real world.
Thus, the wrong option is A. All investors hold the efficient portfolio of assets.
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Directions
Use the Internet to find an article that deals with the financial records of a business. Once you have found and read your article, record your summary and the link location using the following format in the box below. Be sure to include the URL links you used as resources in the space below. Submit your work below.
Paragraph #1 - Summary of article and link
Paragraph #2 - How it relates to entrepreneurship
Paragraph #3 - Your opinion of how the business will do in the next few months based on its financial records.
Answer:
Business Financial Record
The financial records of a business is a representation of where the money the business earns comes from and where the money is being directed as well as the current status of the money earned, (source, U.S. Securities and Exchange Commission website) Financial records includes; General accounting books, Banking records, debtor's records, creditor's records, expenses records, tax records, grant details, contract records, list of assets, employee payments, cashbook records, and stock records (Source Australian Charities and Not-for profits commission website)
How it relates to entrepreneurship
An entrepreneur, venturing into a business, where capital investments are and resources are put, revenue is collected, stocks are sold, and factors of production such as equipment are purchased, can best maintain the financial health of the business by keeping an accurate and up to date financial record, such that the cash flows are efficiently manage to obtain the right prices and interest rates from suppliers and lenders respectively (Gateway to Commercial Finance website)
Your opinion of how the business will do in the next few months based on its financial records
A business that consistently makes profits and incurs a fixed expenses is expected to grow, while a business that has limited revenue is expected to embark on novel approaches
Explanation:
A company's financial records show where the money it makes originates from, where it is going, and how much money it is making at any one time. (Source: website of the U.S. Securities and Exchange Commission).
Thus, According to the Australian Charities and Not-for-Profits Commission website, financial records include general accounting books, banking records, debtor's records.
The creditor's records, expenses records, tax records, grant details, contract records, a list of assets, employee payments, cashbook records, and stock records.
When starting a firm where resources and capital are invested, money is gathered, stocks are sold, and production factors like equipment are bought, an entrepreneur can best manage the financial health of the business.
Thus, A company's financial records show where the money it makes originates from, where it is going, and how much money it is making at any one time. (Source: website of the U.S. Securities and Exchange Commission).
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Andrea Arenas is the owner of 2 Places at 1 Time, a concierge company. She and her staff of 60 perform everyday services, such as walking the dog, picking up cleaning, waiting for the repairman, and going to the post office, for people who are too busy to perform these simple acts. One way she tries to ensure ___________ of services for her regular customers is to make sure that the same well-trained person is always assigned to work for them.
Answer:
consistency.
Explanation:
A service can be defined as an intangible (immaterial), non-physical activities, satisfactions or benefits that are offered for sale by a business service or provided to accompany the sales of a product. Thus, it's an action that involves offering something to a service taker or customer in return for an amount of money as payment.
Basically, a service is expected to have certain characteristics and these includes;
I. Intangibility.
II. Heterogeneity.
III. Perishability.
IV. Lack of ownership.
V. Inseparability.
VI. Variability.
VIII. Quality management.
In this scenario, one of the ways Andrea Arenas tries to ensure consistency of services for her regular customers is to ensure that the same well-trained person (employee) is always assigned to work for them.
This ultimately implies that, she ensures her regular customers get the same level of quality service at all times by assigning a well-trained person (employee) to work for them.
The interest rate would fall and the quantity of money demanded would:
a. increase if there were a shortage in the money market
b. decrease if there were a shortage in the money market
c. increase if there were a surplus in the money market
d. decrease if there were a surplus in the money market
Answer:
c. increase if there were a surplus in the money market
Explanation:
The interest rate can be regarded as amount that lender charges s result of using his/her assets which is usually expressed as a percentage of principal amount. It could be typically annual basis which is annual percentage rate. These Asset could be building, cash and so on.
Demand for money can be regarded as
desired that involves holding of financial assets which is in money form .The quantity of money demanded can go up or down with respect to fluctuation of the interest rate.
It should be noted that The interest rate would fall and the quantity of money demanded would increase if there were a surplus in the money market
How do I do this? I’m confused
Answer:
hello ! i don't have sure if my answer is right because to be sincere i'm not the best in math, but i'm gonna answer it because i wanna try to help you, so i'm sorry if it's not right, but my intentions are good.
my answer is 212,000
Explanation:
i found out 5% of 2,000=100
then 100X2000=200000
1200+200000= 212000
Think of an advertisement that you found particularly effective. Describe the product and the advertisement. Explain why you believe it was effective.
Answer:
I find that the advertisment towards the south korean pop Band BTS directed towards a variety of ages is very effective. They promote their music on all social media plataforms which is obviously directed towards teens and People in their 20s. They make an annual 50 million dollars
Explanation:
My hips dont lie
End item A requires three component parts: B, C, and D. The BOM indicates that for each completed A, 1 unit of B, 2 units of C, and 1 unit of D are required. Current inventory for the four items is as follows: there are 15 As, 40 Bs, 50 Cs, and 15 Ds in stock. If the lead time for all items is 1 week and there are no scheduled receipts for any item, how many units of product A can be delivered to customers at the start of next week (week 2) if you realize now the BOM has been just changed?
Answer:
30 in total
Explanation:
In order to calculate how many items A we can produce we need to check how many units required we have, in this case, we have:
40 B's
50 C's
15 D's
We require 2 units of C, 1 Unit of B, and 1 unit of C.
As you can see in our inventory we only have 15 units of D's, meaning that that is our maximum number of items A produced this week, since we already have 15 A items, we can deliver 30 A products this week.
Jon is considering providing substantial funding to a new startup company called Ampére located in Spain. The company is planning to begin producing electric vehicles that are equipped with fully autonomous driving technology in two years. Jon is concerned that customers in Spain are not receptive to fully autonomous cars as recent country-wide research shows that the company ranks 17th (out of 20 countries surveyed) on the autonomous vehicle readiness index. Customers in Spain do not seem to be willing to adopt these technologies yet. Which of the following PESTEL dimensions should Jon most closely follow in order to assess whether customers' attitudes towards autonomous technologies will begin to change in the near future?
a) Technological
b) Economic
c) Sociocultural
d) Ecological
e) Legal
Answer:
c) Sociocultural
Explanation:
The attidudes of Spanish consumers towards autonomous cars are mainly influenced by sociological and cultural factors, in other words, they belong the sociocultural dimension of PESTEL.
Some of these factors may be: opennes to experience, education level of the population, demographic structure, income distribution, prevailing ideas or ideology in the populace, and so on.
These are the factors that Jon should look closely to in order to determine as objectively as possible the consumer attidue towards autonomous cars, so that he can decide whether or not to start this type of business.
What is the impact of changes in the cost of energy, raw materials, borrowing, and premises on your
chosen enterprise?
(What happens if these costs increase/decrease and how will this impact the price of goods/services your enterprise provides)
Answer:
Answer shortly
Explanation:
Running an enterprise may seem daunting at times especially when the economy isn't healthy and lack adequate commercial infrastructure. The running cost incurred on energy especially in a star without stable electricity to power engines and machines and as such leading to increased reliability on fuel and gas eats up a large chunk of revenue.
Raw materials are at the heart of producton, they are so important since they are the basis of what is being produced. This has a direct impact or say on the price of goods produced and ultimately the profit made from revenue.
Borrowing has formed a common part of a business setup, Running an enterprise would require the need taking loans, the impact of loans on business may be the repayment plan and interest rates. High Interest may result in unreasonable borrowing plan or inability to take loans to fund enterprise growth.
Identifying required environment or arrangement required for the business to thrive.
Generally, increase in energy cost and raw materials and borrowing will lower revenue as production cost will soar and high interest eats deep into profit.
Lorenzo just received a prestigious fellowship to study abroad for a year! However, he still has six months left on his one-year apartment lease. His landlord has given him permission to draw up a new agreement with his sister Maggie, whereby Maggie will live in the apartment, pay rent to Lorenzo, and then Lorenzo will pay the landlord. This is an example of ______.
Answer:
Assignment
Explanation:
Since in the given situation it is mentioned that Lorenzo has received the fellowship for studying abroad for a year but he needs to stay 6 months in the apartment also at the same time the landlord gives the permission for the new agreement with his sister where his sister pay the rent to him and then he pay the rent to landlord so this represent the assignment which needs to be followed for the 6 months anyhow
According to Olivier Blanchard, Europeans are more likely to use increases in real wages resulting from technological progress to increase ______, and Americans are more likely to use these increases in real wages to increase ______. unemployment insurance benefits; efficiency wages hours of leisure; consumption of goods and services hours of work; hours of leisure consumption of goods and services; hours of leisure
Answer: hours of leisure consumption of goods and services;
Explanation:
Real wage is the wage that has been adjusted as a result od inflation.
Based on the information given, according to Olivier Blanchard, Europeans are more likely to use increases in real wages resulting from technological progress to increase (hours of leisure) and Americans are more likely to use these increases in real wages to increase the (consumption of goods and services).
In December of Year 4, John (a cash-basis taxpayer) received a $2,000 payment from Tom who signed a year's lease to rent John's house. The $2,000 payment consisted of the following:
1st Month's Rent (for the month of December, Year 4) $800Last Month's Rent (for the month of December, Year 5) 800Security Deposit (to be returned at end of lease) 400
How much should John include as rental income on his Year 4 tax return as a result of the $2,000 payment?
Answer:
John should include $1,600 as rental income on his Year 4 tax return as a result of the $2,000 payment.
Explanation:
As a cash-basis taxpayer, John's taxable income is based on the actual cash receipts and payments made in the accounting period. The refundable part of the rent should not be included as rental income since it is a security deposit that would be returned at the end of the lease period. If John were an accrual-basis taxpayer, the rental income to be included would have been only $800 representing income for Year 4.
Economic fine-tuning is the (usually frequent) use of Group of answer choices fiscal policy that both balances the budget and counteracts even small undesirable movements in economic activity. monetary and fiscal policies to counteract even small undesirable movements in economic activity. only fiscal policy to counteract even small undesirable movements in economic activity. monetary policy that is based on a predetermined steady growth rate in the money supply to counteract even small undesirable movements in economic activity.
Answer:
monetary and fiscal policies to counteract even small undesirable movements in economic activity.
Explanation:
Economic fine-tuning is the (usually frequent) use of monetary and fiscal policies to counteract or subvert even small undesirable movements in economic activity.
Monetary policy can be defined as the actions (macroeconomic policies) adopted and undertaken by the central bank of a particular country to control the money supply and interest rates so as to boost or enhance economic growth. The central bank uses monetary policies to manage inflation, economic growth through long-term interest rates and level of unemployment in a country. In order to boost economic growth, monetary policy is used to increase money supply (liquidity) while it is also used to prevent inflation by reducing money supply.
On the other hand, Fiscal policy refers to the use of government expenditures (spending) and revenues (taxation) in order to influence macroeconomic conditions such as Aggregate Demand (AD), inflation, and employment within a country. Fiscal policy is in relation to the Keynesian macroeconomic theory by John Maynard Keynes.