Reserves held by banks are mainly held in the form of:
A) currency.
B) checkable deposits.
C) electronic claims.
D) savings accounts.

Question

Quizplus · Accepted Answer

Reserves held by banks are primarily in the form of electronic claims. These are digital records of the amounts banks hold in their reserve accounts at the central bank, facilitating the efficient and secure management of their liquidity and compliance with reserve requirements.

Reserves Held by Banks Are Mainly Held in the Form