Question 5 of 10 Banks that practice fractional reserve banking are able to:
A. lend most of the money they hold as deposits.
B. change the interest rates on loans for any reason.
C. return all of their deposited cash at any time.
D. provide financial services to customers at no cost.

Steele bicycle manufacturing company currently produces the handlebars used in manufacturing its bicycles, which are high-quality racing bikes with limited sales. steele produces and sells only 10,000 bikes each year. due to the low volume of activity, steele is unable to obtain the economies of scale that larger producers achieve. for example, steele could buy the handlebars for $31 each: they cost $34 each to make. the following is a detailed breakdown of current production costs: after seeing these figures, steele's president remarked that it would be foolish for the company to continue to produce the handlebars at $34 each when it can buy them for $31 each. calculate the total relevant cost. do you agree with the president's conclusion?

Select the word from the list that best fits the definition sometimes

Explain the relationship between consumers and producers in economic growth and activity