Which of the Following Does Not Affect the Size of the Monetary

question 108

Multiple Choice

Which of the following does not affect the size of the monetary base?

• A)the amount of notes issued by the Bank of Canada
• B)the amount of loans issued by chartered banks
• C)the amount of coins issued by the Canadian Mint
• D)the amount of chartered bank deposits at the Bank of Canada
• E)none of the above

---

Definitions:

Incremental Cost

The additional cost associated with manufacturing one more unit of production.

Direct Materials

Raw materials directly traced and assigned to the cost of producing goods or services.

Direct Labor

The wages paid to employees who are directly involved in producing goods or providing services.

Overhead

Refers to ongoing business expenses not directly tied to creating a product or service.