If a check was written on Bank X for $500 and Bank Y presented the check to Bank X for payment, what will happen to the required reserves for each respective bank after payment is made?
A. Bank X's required reserves increase; Bank Y's decrease.
B. Both banks will see an increase in their required reserves.
C. Bank Y's required reserves increase; Bank X's decrease.
D. Both banks will see a decrease in their required reserves.
Answer: C
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Refer to Figure 11-16. The figure above illustrates a series of isoquants. Which of the following statements is true?
A) Points z and y represent the same output; this output is produced with more capital at z than at y. B) Point z represents a greater output than point x or point y. C) Points x, z, and y all represent the same output. D) Point x and y represent the same output but the cost of production at y is greater than the cost of production at x.
If both demand and supply change, the two equilibrium values would change depending on the relative ______ of the changes in supply and demand.
a. consequences b. magnitude c. timing d. accuracy
Required reserves are the portion of deposits banks are required to hold and not lend to customers
Indicate whether the statement is true or false
If the market wage rate increases, a firm's labor demand curve does not shift but the labor supply curve shifts to the right
Indicate whether the statement is true or false