Examlex

Solved

Available-For-Sale Securities Are Securities Bought and Held Primarily for Sale

question 153

True/False

Available-for-sale securities are securities bought and held primarily for sale in the near term to generate income on short-term price differences.


Definitions:

Reserve Requirement

The Reserve Requirement is a central banking regulation that sets the minimum amount of reserves each bank must hold as a proportion of its deposits, a tool used to control the money supply.

Open Market Operations

Activities by a central bank to buy or sell government securities in the open market to influence the money supply and interest rates.

Reserve Requirement

A regulation set by central banks that specifies the minimum amount of reserves a bank must hold in relation to customer deposits.

Open Market Purchase

A monetary policy tool where the central bank buys government securities from the market in order to expand the money supply.

Related Questions