Suppose Acme County Bank and Trust has $1 million in total deposits and the required reserve ratio is 8%. How many dollars must the bank keep in its vaults or on deposit at a Federal Reserve Bank?
A) 0
B) $80,000
C) $920,000
D) $1,000,000
E) None of the above—it's the bank's own choice.
B
You might also like to view...
Use the following table, which shows the supply and demand schedules for the euro, to answer the next question.Quantity of Euros SuppliedPriceQuantity of Euros Demanded400$1.101003601.002003000.903002860.804002670.70500If the U.S. government decides to fix or peg the price of the euro at $1.00, it would have to ________.
A. buy 160 euros B. sell 160 euros C. buy 360 euros D. sell 360 euros
Perfect price discrimination occurs when:
a. each customer is charged the maximum price that each is willing and able to pay. b. two classes of customers are charged different prices as they have the same elasticities of demand. c. senior citizens are offered restaurant discounts. d. the firm sets MR < MC for each class of customers. e. the firm charges same price to different customers so that it is equal to the equilibrium price.
If real GDP doubles and the GDP deflator doubles, then nominal GDP
a. remains constant. b. doubles. c. triples. d. quadruples.
On the basis of the given information, we:
Use the labor demand data on the left and the labor supply data on the right in answering the following question:
A. can say that the labor supply curve facing the firm is nonexistent.
B. cannot say whether the firm's product market is purely or imperfectly competitive.
C. can say that the firm is selling its product in a purely competitive market.
D. can say that the firm is selling its product in an imperfectly competitive market.