There Are Two Ways for Money to Be Initially Deposited

question 5

Multiple Choice

There are two ways for money to be initially deposited into the banking system. They include:

• A) the deposit of a check by a bank customer and a gold deposit by the government.
• B) the deposit of a check by a bank customer and a cash deposit by a bank customer.
• C) a cash deposit by a bank customer and a cash deposit by the government.
• D) a cash deposit by a bank customer and an electronic reserve deposit by the government.

Analyze economic indicators to deduce periods of recession, prosperity, deflation, disinflation, or inflation.

Calculate changes in the Consumer Price Index (CPI) and understand their economic implications.

Understand the relationship between unemployment rates, inflation, and cyclical unemployment.

Calculate the nominal interest rate given the real rate of interest and the rate of inflation.

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Definitions:

Retirement Income

Income that an individual receives after retiring from active employment, which can come from pensions, savings, investments, and government benefits.

After Tax

Referring to the net amount remaining after income tax has been deducted from gross income.

Annual Return

Refers to the percentage change in an investment's value over a one-year period, including dividends and interest.

Market Rate

The current price or cost of goods, services, or financial assets in a competitive marketplace, often subject to fluctuations.