A bank has $2 million in checkable deposits. In the bank's balance sheet, this would be part of
A. liabilities.
B. net worth.
C. capital stock.
D. assets.
Answer: A
You might also like to view...
Refer to Figure 12-9. At price P3, the firm would
A) lose an amount less than fixed cost. B) lose an amount more than fixed cost. C) break even. D) lose an amount equal to its fixed cost.
In a commercial bank's T-account, reserves and outstanding loans are recorded as:
a. debts. b. profits. c. assets. d. liabilities.
Imagine that Odyssey National is a brand new bank, and that its required reserve ratio is 10 percent. If it accepts a $1,000 cash deposit, then, excluding the $1,000 initial deposit, the banking system can increase the money supply by:
a. $900. b. $910. c. $1,000. d. $9,000. e. $10,000.
Which of the following groups believes that by managing aggregate demand, government can achieve the most acceptable combination of unemployment and inflation?
a. classical school b. monetarists c. neo-Keynesian school d. rational expectations school e. supply-side school