Which of the following institutions is eligible to borrow from the Federal Reserve at the discount rate?
A) Property and casualty insurance companies
B) Money market mutual funds
C) Credit unions
D) Investment banks

Question

Quizplus · Accepted Answer

Credit unions are eligible to borrow from the Federal Reserve at the discount rate. Property and casualty insurance companies and money market mutual funds are not eligible to borrow from the Federal Reserve at the discount rate. Investment banks can borrow from the Federal Reserve under certain circumstances, but not at the discount rate.

Which of the Following Institutions Is Eligible to Borrow from the Federal