In a Deposits-Only Monetary System with a 5% Required Reserve

question 113

Multiple Choice

In a deposits-only monetary system with a 5% required reserve ratio, a bank deposit of $1,000 could increase the total amount of bank deposits by up to:

• A) $5,000.
• B) $10,000.
• C) $20,000.
• D) $50,000.

---

Definitions:

Functional

Designed to be practical and useful, rather than attractive.

Chronological Format

A method of organizing information or events in the order that they occurred in time.

Professional History

A record or summary of an individual's work experience and qualifications.

Candidate's Strength

The unique qualities or abilities that a job applicant possesses, making them a suitable match for a specific role.