Suppose a bank has $500,000 in deposits and a required reserve ratio of 10 percent.Then required reserves are
A) $5,000,000.
B) $500,000.
C) $50,000.
D) $10,000.
Correct Answer:
Verified
Q53: One of the main functions of banks
Q54: Which of the following reflects the concept
Q55: The term fractional reserves refers to
A)The fact
Q56: Suppose a bank has $300,000 in deposits
Q57: Required reserves represent
A)A leakage from the flow
Q59: The banking system can lend the sum
Q60: The various money supply measures (M1 and
Q61: Initially a bank has a required reserve
Q62: Which of the following is a bank
Q63: Banks are required to keep a minimum
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents