Multiple Choice
If a commercial bank borrows from the Federal Reserve, the price it pays is
A) zero, there is no payment.
B) the prime rate.
C) the federal funds rate.
D) the discount rate.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q34: One method used by the Federal Reserve
Q35: Which of the following is an administered
Q36: An indication to the Open Market Account
Q37: When a bank borrows from the Federal
Q38: Excess reserves immediately increase if<br>A) reserve requirements
Q40: Which of the following is an administered
Q41: If the Federal Reserve eliminated all reserve
Q42: _ the required reserve ratio will _
Q43: The price of reserves that are borrowed
Q44: The primary function of reserve requirements is