The Difference Between Actual Reserves and Required Reserves Is

question 216

Multiple Choice

The difference between actual reserves and required reserves is

• A) excess reserves.
• B) net worth.
• C) borrowings from the Fed.
• D) illegal reserves.

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Definitions:

Void Contracts

Agreements that are illegal or against public policy and therefore unenforceable by law.

Bilateral Contract

A contract in which the promise of one of the parties forms the consideration for the promise of the other.

Unilateral Contract

A contract where one party makes a promise in exchange for an act by the other party.

Quasi-contract

A quasi-contract is a legal concept where the court imposes a contract-like obligation on a party to prevent unjust enrichment, even though no actual agreement exists between the parties.