The Chartered Banking System of Canada Allows the System to Lend

question 187

Multiple Choice

The chartered banking system of Canada allows the system to lend:

• A)by a multiple of its excess cash reserves.
• B)one dollar for each dollar of its excess cash reserves.
• C)less than one dollar for each dollar of its excess cash reserves.
• D)more or less than a dollar per dollar of excess cash reserves.

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Definitions:

ALU

Arithmetic Logic Unit; a component of a computer processor that performs arithmetic and logical operations.

Eight-Byte String

A sequence of data consisting of eight bytes, which can represent a variety of data types, including characters or numerical values.

Bit

Short for binary digit (0s and 1s), the only data that a CPU can process.

Magnetic Tapes

A medium for magnetic recording, made of a thin magnetizable coating on a long, narrow strip of plastic film, used for data storage and backup.