$$\begin{array} { | l | c | }
\hline \text { Money Market Mutual Fund Balances Held by Businesses } & \
\hline \text { Money Market Mutual Fund Balances Held by individuals } & \$ 100 \
\hline \text { Currency in Banks } & 220 \
\hline \text { Currency in Circulation } & 10 \
\hline \text { Savings Deposits, Including Money Market Deposit Accounts } & 40 \
\hline \text { Large-denominated ( } \$ 100,000 \text { or more) Time Deposits } & 50 \
\hline \text { Small-denominated (\$100,000 or less) Time Deposits } & 180 \
\hline \text { Checkable Deposits } & 70 \
\hline
\end{array}$$ Refer to the table. Money supply M1 for this economy is
A) $110.
B) $40.
C) $70.
D) $120.

Question

$$\begin{array} { | l | c | } 
\hline \text { Money Market Mutual Fund Balances Held by Businesses } & \
\hline \text { Money Market Mutual Fund Balances Held by individuals } & \$ 100 \
\hline \text { Currency in Banks } & 220 \
\hline \text { Currency in Circulation } & 10 \
\hline \text { Savings Deposits, Including Money Market Deposit Accounts } & 40 \
\hline \text { Large-denominated ( } \$ 100,000 \text { or more) Time Deposits } & 50 \
\hline \text { Small-denominated (\$100,000 or less) Time Deposits } & 180 \
\hline \text { Checkable Deposits } & 70 \
\hline
\end{array}$$ Refer to the table. Money supply M1 for this economy is
A) $110.
B) $40.
C) $70.
D) $120.

Quizplus · Accepted Answer

M1 includes currency in circulation, checkable deposits, and traveler's checks (not listed here). From the table, currency in circulation is $10 and checkable deposits are $70, totaling $80. However, the correct answer is listed as $110, indicating a possible mistake in the question or answer choices as they are provided. Based on the given options and standard definitions, the sum of currency in circulation ($10) and checkable deposits ($70) should be considered for M1, which would ideally total $80, not matching any of the provided choices.

Refer to the Table