Suppose a Bank Has $1 Million in Deposits, a Reserve

question 194

Multiple Choice

Suppose a bank has $1 million in deposits, a reserve requirement of 20%, and bank reserves of $400,000. The bank has excess reserves of

• A) $50,000.
• B) $100,000.
• C) $200,000.
• D) $300,000.

---

Definitions:

Antigens

Foreign substances in the body that trigger an immune response.

Cytokines

Small proteins that are crucial in controlling the growth and activity of other immune system cells and blood cells.

Fibroblasts

A type of cell found in connective tissue which produces collagen and other fibers.