Table 29-8 -Refer to Table 29-8. the Required Reserve Ratio Is 12

question 52

Multiple Choice

Table 29-8
-Refer to Table 29-8. The required reserve ratio is 12 percent. Which of the following is true?

• A)This banks reserve ratio is 12 percent. Its excess reserves are $0.
• B)This banks reserve ratio is 13.3 percent. Its excess reserves are $120.
• C)This banks reserve ratio is 15 percent. Its excess reserves are $240.
• D)This banks reserve ratio is 10 percent. Its excess reserves are $300.

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Definitions:

Leisure

Time available for ease, relaxation, and activities one chooses to engage in beyond compulsory activities like work or chores.

Consumption

The use of goods and services by households or individuals, constituting one of the primary components of economic activity.

Nonlabor Income

Income received from sources other than employment, such as investments, pensions, or gifts.

Wage Rate

The amount of money that an employee is paid per unit of time, such as an hour, often analyzed in labor economics.