Suppose a Commercial Bank Has a Level of Target Reserves

question 114

Multiple Choice

Suppose a commercial bank has a level of target reserves of $500 million and actual reserves of $575 million.This bank's ________ $75 million.

• A)profits are
• B)fractional reserves are
• C)excess reserves are
• D)reserve ratio is
• E)cash drain is

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Definitions:

Calorie Content

Calorie content is the amount of energy provided by consuming a certain amount of food or drink, measured in calories.

Protein

Proteins are large, complex molecules essential for the structure, function, and regulation of the body's tissues and organs, made up of amino acids.

Carbohydrates

Organic compounds consisting of carbon, hydrogen, and oxygen, serving as a major energy source in the diet of humans and animals.

Worst Predictor

A variable in a statistical model that contributes least to the prediction of the outcome variable, often due to lack of significant correlation or variability.