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A Bank Meets a Deposit Withdrawal with One of the Following

Question 36

Multiple Choice

A bank meets a deposit withdrawal with one of the following alternatives. Which one of the following is an example of using stored liquidity to meet a deposit withdrawal?


A) Increasing Eurodollar deposits
B) Contacting an investment banker to find new corporate deposits
C) Increasing fed funds borrowed
D) Issuance of a negotiable CD
E) Selling the bank's holdings of T-bills

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