Multiple Choice
Which of the following statements about deposit money is true?
A) The quantity of fiat money in the Canadian economy far exceeds the quantity of deposit money.
B) Deposit money can legally be created solely by the Bank of Canada.
C) Deposit money is the paper money or coinage that is decreed by the government to be accepted as legal tender.
D) Deposit money is recorded as an asset on the balance sheet of a commercial bank.
E) The quantity of deposit money in the Canadian economy far exceeds the quantity of fiat money in circulation.
Correct Answer:
Verified
Correct Answer:
Verified
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