Money on deposit, minus ____________________, can be loaned by banks to customers.
A)excess reserves
B)cash on hand
C) primary reserves
D) the reserve requirement

Question

Quizplus · Accepted Answer

The reserve requirement is the portion of depositors' balances that banks must have on hand as cash. This is the amount that cannot be loaned out. Money on deposit minus the reserve requirement is what can be loaned to customers.

Money on Deposit, Minus ____________________, Can Be Loaned by Banks