A bank is in the position to make loans when required reserves:
A) Equal actual reserves
B) Equal excess reserves
C) Are less than actual reserves
D) Are greater than actual reserves

Name: A bank is in the position to make loans when required reserves: A) Equal actual reserves B) Equal excess reserves C) Are less than actual reserves D) Are greater than actual reserves
Brand: Quizplus
Rating: 4.9 (43 reviews)

Question

Quizplus · Accepted Answer

A bank can make loans when its actual reserves exceed the required reserves, meaning it has excess reserves available to lend out.

A Bank Is in the Position to Make Loans When