Multiple Choice
If the reserve ratio is 10% and a new demand deposit of $10,000 is made,what is the maximum deposit creation possible?
A) $1,000
B) $9,000
C) $10,000
D) $90,000
E) $100,000
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q34: A financial intermediary<br>A)Seeks deposits<br>B)Makes loans<br>C)Matches up savers
Q35: The Gramm-Leach-Bliley Act allows banks to<br>A)Sell insurance<br>B)Underwrite
Q36: When a share of stock is sold
Q37: The key to the Federal Reserve's control
Q38: A credit default swap<br>A)Is what happens when
Q40: The Following Questions Refer to the graph
Q41: When you use dollar bills to pay
Q42: When a central bank wants to increase
Q43: The discount rate is the ratio of
Q44: Suppose the legal reserve requirement is 0.20,and