Terms for Fed Funds

Date: 2015-10-07; view: 489.

Fill in the gaps in the text with the words from the box. Translate it into Ukrainian. Make up your own sentences with the given words and word combinations.

Insert the proper word into the gap.

1. A company's total revenue less its operating expenses, interest paid, depreciation, and taxes represents its ______.

2. For investors facing a falling market, stocks with a high dividend ____ can be a good investment.

3. Many studies indicate that retirees will need to between 70% to even 100% of their pre-retirement _____ to maintain their current standard of living.

4. Companies use all kinds of tactics to make bad ______look good.

5. _______is calculated by multiplying the price at which goods or services are sold by the number of units or amount sold.

Overnight, highest rate, deficit, reserve position, seller's account, excess, to take funds, deposit the funds, borrowing bank, borrower's account, correspondent banks*

Fed funds are usually _______investments. Banks analyze their _______on a daily-basis and either borrow or invest in fed funds, depending on whether they have ______or ________reserves. Suppose that a bank finds that it has $50 million in excess reserves. It will call its _________(banks that have reciprocal accounts**) to see if they need reserves that day. The bank will sell its excess funds to the bank that offers the________. Once an agreement has been reached, the bank with excess funds will wire the funds to the_________. This involves telecommunicating to the Federal Reserve bank instructions _________out of the ________at the Fed and _________in the_________. The next day, the funds are transferred back, and the process begins again.

*correspondent bank– банк, який є контрагентом іншого банку за договором, що передбачає виконання взаємних доручень щодо здійснення та одержання платежів, а також порядок розрахунку за такими дорученнями.

**reciprocal accounts – взаємні рахунки банків-кореспондентів.