When a Cheque Is Drawn and Cleared, the

question 193

Multiple Choice

When a cheque is drawn and cleared, the

• A)reserves and deposits of both the bank against which the cheque is cleared and the bank receiving the cheque are unchanged by this transaction.
• B)bank against which the cheque is cleared loses cash reserves and deposits equal to the amount of the cheque.
• C)bank receiving the cheque loses reserves and deposits equal to the amount of the cheque.
• D)bank against which the cheque is cleared acquires reserves and deposits equal to the amount of the cheque.

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Definitions:

Unemployment

A macroeconomic condition where individuals who are willing and able to work are unable to find employment.

Cost Adjustment

The process of modifying an organization's cost structure through various strategies such as reducing expenses, improving efficiency, or restructuring operations.

Reduced Work Week

An employment arrangement that decreases the number of hours worked per week, often to improve work-life balance or increase productivity.

Voluntary Sabbaticals

A period of leave granted to employees, which is not mandated but chosen freely, often for personal or professional development purposes.