Which of the flowing lists includes only banks' assets?
A) liquid assets, loans, securities, and reserves
B) reserves, savings deposits, securities, and loans
C) reserves, securities, liquid assets, and savings deposits
D) securities, reserves, checkable deposits, and liquid assets
E) reserves, checkable deposits, securities, and loans

Question

Quizplus · Accepted Answer

Liquid assets, loans, securities, and reserves are all assets that banks hold on their balance sheet. Option B includes savings deposits, which are liabilities, not assets. Option C includes savings deposits and option D includes checkable deposits, which are also liabilities. Option E includes loans, which are assets, but also includes checkable deposits, which are liabilities.

Which of the Flowing Lists Includes Only Banks' Assets