Table 29-3
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-Refer to Table 29-3

question 131

Multiple Choice

Table 29-3
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$$\begin{array}{l}\text { The First Bank of Rosw ell }\\\begin{array} { l l | l l } & \text { Assets } & { \text { Liabilities } } \\\hline \text { Reserves } & \$ 30,000 & \text { Deposits } & \$ 200,000 \\\text { Loans } & 170,000 & &\end{array}\end{array}$$ ​
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-Refer to Table 29-3. Suppose the bank faces a reserve requirement of 10 percent. Starting from the situation as depicted by the T-account, a customer deposits an additional $60,000 into his account at the bank. If the bank takes no other action it will

• A)have $64,000 in excess reserves.
• B)have $4,000 in excess reserves.
• C)be in a position to make new loans equal to a maximum of $6,000.
• D)be unable to make any new loans.

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Definitions:

Age

A measure of the length of time that an individual or entity has been alive or in existence.

Consumer Market

The marketplace where individuals or households purchase goods and services for personal use.

PRIZM Lifestyle Segmentation

A marketing tool used to categorize consumers into different groups based on their socio-economic status, lifestyle, and consumer behavior.

Demographic Segmentation

The division of a market into subsets based on variables such as age, gender, income, education, and family size for marketing purposes.