Solved

A Bank Finds Itself Short of Desired Reserves and Therefore

Question 128

Multiple Choice

A bank finds itself short of desired reserves and therefore borrows from another chartered bank.What is the term for the interest rate on this loan?  


A)  the liquidity rate 
B)  the prime rate 
C)  the discount rate 
D)  the overnight rate

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions