This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose that a bank with no excess reserves receives a deposit into a checking account of 10,000 in ... (Read 103 times)

Haya94

  • Hero Member
  • *****
  • Posts: 558
on: Jun 30, 2018
Suppose that a bank with no excess reserves receives a deposit into a checking account of 10,000 in currency. If the required reserve ratio is 0.20, what is the maximum amount that the bank can lend out?
 
  A) 2,000
  B) 8,000
  C) 10,000
  D) 50,000

Question 2

Which of the following is a possible impact of a global savings glut on a small open economy?
 
  A) interest rate would increase
  B) interest rate would decrease
  C) domestic savings would increase
  D) domestic investment would increase


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

ankilker

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jun 30, 2018
Answer to Question 1

B

Answer to Question 2

D


Haya94

  • Member
  • Posts: 558
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

ttt030911

  • Member
  • Posts: 315
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

Illness; diuretics; laxative abuse; hot weather; exercise; sweating; caffeine; alcoholic beverages; starvation diets; inadequate carbohydrate consumption; and diets high in protein, salt, or fiber can cause people to become dehydrated.

Did you know?

Glaucoma is a leading cause of blindness. As of yet, there is no cure. Everyone is at risk, and there may be no warning signs. It is six to eight times more common in African Americans than in whites. The best and most effective way to detect glaucoma is to receive a dilated eye examination.

Did you know?

More than one-third of adult Americans are obese. Diseases that kill the largest number of people annually, such as heart disease, cancer, diabetes, stroke, and hypertension, can be attributed to diet.

Did you know?

Liver spots have nothing whatsoever to do with the liver. They are a type of freckles commonly seen in older adults who have been out in the sun without sufficient sunscreen.

Did you know?

Patients should never assume they are being given the appropriate drugs. They should make sure they know which drugs are being prescribed, and always double-check that the drugs received match the prescription.

An example of the front and back sides of a deposit slip. An example of the front and back sides of a deposit slip.
Example of Reconciling a Bank Statement Cont. Example of Reconciling a Bank Statement Cont.
The pressure valve maintains the system pressure and allows excess pressure to vent. The vacuum ... The pressure valve maintains the system pressure and allows excess pressure to vent. The vacuum ...
Checking the voltage drop between the TP sensor ground and a good engine ground with the ignition ... Checking the voltage drop between the TP sensor ground and a good engine ground with the ignition ...
Potential gas reserves have increased significantly with the discovery of new shale gas formations Potential gas reserves have increased significantly with the discovery of new shale gas formations
Conventional oil reserves have passed peak production Conventional oil reserves have passed peak production
Video: Congenital Heart Defects Animation

For a complete list of videos, visit our video library