Cash held by a bank in its vault is a part of the bank's:
A) Reserves
B) Liabilities
C) Money supply
D) Net worth

Question

Quizplus · Accepted Answer

Cash held by a bank in its vault is a part of the bank's reserves, which includes deposits held at the central bank and vault cash. Reserves are a key component of a bank's balance sheet and play an important role in determining its ability to meet the demands of its customers and maintain financial stability.

Cash Held by a Bank in Its Vault Is a Part