Which of the following is the largest asset on a consolidated balance sheet for a commercial bank?
a. Checkable deposits
b. government bonds
c. Cash assets, including reserves
d. Loans
e. Borrowing from the Federal Reserve
D
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Soda and hot dogs are complements for one another. If a shortage of carbonated water leads to an increase in the price of soda, then the
A) demand for hot dogs increases. B) demand for hot dogs decreases. C) quantity of hot dogs demanded increases. D) quantity of hot dogs demanded decreases. E) More information is needed to determine if the demand increases or decreases.
Refer to the scenario above. The seller will earn a revenue of ________
A) $100 B) $300 C) $200 D) $400
The largest institutional participants in capital markets are
A) pension funds. B) insurance companies. C) consumer finance companies. D) business finance companies.
The economic principle that states that individuals or nations can gain by specializing in the production of goods that they produce cheaply and exchanging for other desired goods that they could only produce at a higher cost is
a. the law of absolute advantage. b. the law of comparative advantage. c. the law of production possibilities. d. the exchange maximum principle.