For the following questions use the information in the followingtable.
-Given the information in Table 10.2,if reserve requirements are 3 percent and capital requirements are 10 percent the bank meets:
A)reserve requirements,but not capital requirements.
B)neither reserve requirements nor capital requirements.
C)both reserve and capital requirements.
D)capital requirements,but not reserve requirements
E)not enough information

Question

For the following questions use the information in the followingtable. 
-Given the information in Table 10.2,if reserve requirements are 3 percent and capital requirements are 10 percent the bank meets:
A)reserve requirements,but not capital requirements. 
B)neither reserve requirements nor capital requirements. 
C)both reserve and capital requirements. 
D)capital requirements,but not reserve requirements 
E)not enough information

Quizplus · Accepted Answer

The bank meets both reserve and capital requirements because its reserve ratio (15%) is greater than the reserve requirement (3%) and its capital ratio (12%) is greater than the capital requirement (10%).

For the Following Questions Use the Information in the Followingtable