Which of the Following Is NOT Included in the M1

question 75

Multiple Choice

Which of the following is NOT included in the M1 measure of money?

• A)Currency held in bank vaults
• B)Currency held outside banks
• C)Current deposits at commercial banks
• D)Current deposits at credit unions

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Definitions:

Straight-Line Method

A method of calculating depreciation of an asset where the expense is evenly distributed over its useful life.

Scrap Value

The estimated resale value of an asset at the end of its useful life, often considered when calculating depreciation.

Units-Of-Production Method

A depreciation method that allocates expense based on the actual usage or production levels of the asset.

Scrap Value

The estimated residual value of an asset after it has reached the end of its useful life and is no longer economically serviceable.