Use the following to answer questions: Table: The Definition of the Money Supply $$\begin{array} { l c }
\hline \text { Type of money } & \text { Amount (millions) } \
\hline \text { Currency and reserves held by banks at the Fed } & \$ 50 \
\text { Currency held by the public } & \$ 100 \
\text { Checkable deposits } & \$ 250 \
\text { Savings deposits } & \$ 150 \
\text { Money market mutual funds } & \$ 25 \
\text { Small time deposits } & \$ 10 \
\hline
\end{array}$$
-(Table: The Definition of the Money Supply) Refer to the table. What is the M1 money supply?
A) $150 million
B) $250 million
C) $350 million
D) $400 million

Question

Use the following to answer questions: Table: The Definition of the Money Supply $$\begin{array} { l c } 
\hline \text { Type of money } & \text { Amount (millions) } \
\hline \text { Currency and reserves held by banks at the Fed } & \$ 50 \
\text { Currency held by the public } & \$ 100 \
\text { Checkable deposits } & \$ 250 \
\text { Savings deposits } & \$ 150 \
\text { Money market mutual funds } & \$ 25 \
\text { Small time deposits } & \$ 10 \
\hline
\end{array}$$
-(Table: The Definition of the Money Supply) Refer to the table. What is the M1 money supply?
A) $150 million
B) $250 million
C) $350 million
D) $400 million

Quizplus · Accepted Answer

M1 money supply includes currency held by the public and checkable deposits. Therefore, M1 = $100 million (currency held by the public) + $250 million (checkable deposits) = $350 million.

Use the Following to Answer Questions: Table: the Definition of the Money