Assume the Desired Reserve Ratio Is 25 Percent and the Winnipeg

question 71

Multiple Choice

Assume the desired reserve ratio is 25 percent and the Winnipeg Bank borrows $10,000 from the Bank of Canada.As a result:

• A)chartered bank reserves are increased by $10,000.
• B)the supply of money automatically declines by $7,500.
• C)chartered bank reserves are increased by $7,500.
• D)the supply of money is automatically increased by $10,000.

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Describing entities or individuals that deviate from what is typically expected or considered normal in physical form or characteristics.

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