Author Question: In September 2008, Regions Bank has 89 million in M1 deposits, 3 million in reserves and 81 million ... (Read 158 times)

Caiter2013 · **on:** Jun 29, 2018

In September 2008, Regions Bank has 89 million in M1 deposits, 3 million in reserves and 81 million in loans. Regions Bank's desired reserve ratio is

A) 3.4 percent.
B) 3.7 percent.
C) 91 percent.
D) 29.67 percent.

Question 2

Bobby spends 100 per month on pizza and CDs. His utility from these goods is shown in the table above. The price of a pizza is 10 and the price of a CD is 20. Bobby currently buys 6 pizzas and 2 CDs. To maximize his utility, he should

A) buy more pizza and fewer CDs.
B) buy more CDs and fewer pizza.
C) buy more of both goods.
D) stay with the current combination of goods.