If a bank has liabilities exceeding its net worth:
A)it will not be able to meet its desired reserve ratio.
B)it is considered to be insolvent.
C)it most likely is a heavy borrower from the Bank of Canada.
D)none of the above is necessarily true.

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The Answer of If a bank has liabilities exceeding its net worth:
A)it will not be able to meet its desired reserve ratio.
B)it is considered to be insolvent.
C)it most likely is a heavy borrower from the Bank of Canada.
D)none of the above is necessarily true.

If a Bank Has Liabilities Exceeding Its Net Worth