Assume Company X deposits $100,000 in cash in commercial Bank A. If no excess reserves exist at the time this deposit is made and the reserve ratio is 20 percent, Bank A can increase the money supply by a maximum of:
A. $50,000.
B. $180,000.
C. $80,000.
D. $500,000.
C. $80,000.
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The GDP of Country X in a particular year was $820,000. If the value added by U.S
workers in the production of various goods and services in Country X during that year was worth $150,000 and the value added by the workers of Country X in the production of various goods and services in other countries during that year was worth $130,000, the GNP of Country X during that year was ________. A) $1,140,000 B) $135,000 C) $8,235,000 D) $800,000
One intention of deposit insurance is to reduce the danger of
a. excess lending. b. excess profits. c. risky lending. d. bank runs. e. All of the above are correct.
Affordability is a benefit of layering term life insurance policies.
Group of answer choices A. True B. False
The hyperinflation in Zimbabwe ended in April 2009 when the central bank purchased government bonds in open-market operations
a. True b. False Indicate whether the statement is true or false