Buffer Reserves at DIs Are

Multiple Choice

Buffer reserves at DIs are

A) reserves in excess of the minimum required reserves.
B) government securities that do not qualify as required reserves, but that can be converted to cash quickly.
C) the portion of reserves that are calculated at a rate of ten percent of deposits.
D) non-government securities and loans that must be converted into cash.
E) the portion of life insurance company assets that require minimum reserves.