The two-week period during which a bank must hold sufficient legal reserves is called the:
A) deposit computation period.
B) deposit maintenance period.
C) vault cash computation period.
D) base computation period.
E) maintenance period.

Question

Quizplus · Accepted Answer

The two-week period during which a bank must hold sufficient legal reserves is referred to as the maintenance period. This is the time frame in which financial institutions are required to maintain the reserve balances stipulated by central banking regulations.

The Two-Week Period During Which a Bank Must Hold Sufficient