A bank has $2 million in checkable deposits. In the bank's balance sheet, this would be part of
A) assets.
B) liabilities.
C) capital stock.
D) net worth.

Question

Quizplus · Accepted Answer

Checkable deposits are a liability of the bank as they represent the amount of money that the bank owes to its depositors and must be available for withdrawal upon demand. Assets would include things like loans and investments, while capital stock and net worth are measures of the bank's equity.

A Bank Has $2 Million in Checkable Deposits