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For a Commercial Bank, the Term "Reserves" Refers to

Question 125

Multiple Choice

For a commercial bank, the term "reserves" refers to


A) a banker's concern ("reservation") in making loans to an individual without a job.
B) the profit that the bank retains at the end of the year.
C) the cash in its vaults and its deposits at the Federal Reserve.
D) the net interest that it earns on loans.

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