A Bank's Reserves Are

question 91

Multiple Choice

A bank's reserves are

• A) the minimum value of assets it must have.
• B) the amount of gold it is required to have as reserves against loans.
• C) the value of federal securities it is required to have as reserves against loans.
• D) deposits that banks have accepted from customers but have not loaned out.

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Definitions:

Stated Goals

Explicitly expressed objectives or targets that an individual, group, or organization aims to achieve.

High Profit

A term denoting a substantial financial gain that significantly exceeds the costs and expenses of doing business.

Low Expenses

Refers to minimized operating costs or outlays necessary for an entity to conduct its business activities.

Resource Maturity

The stage of development at which resources, such as technology or human skills, reach their highest potential of efficiency and effectiveness.