Suppose a Bank Has $1 Million in Deposits, a Reserve

question 72

Multiple Choice

Suppose a bank has $1 million in deposits, a reserve requirement of 10%, and bank reserves of $300,000. The bank has excess reserves of

• A) $50,000.
• B) $100,000.
• C) $200,000.
• D) $300,000.

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Definitions:

Subjective Sense

An individual's personal perspective or interpretation of experiences, feelings, or beliefs.

Me-Self

William James's term for the conscious sense of personal identity that comprises the self as known or the collection of subjective experiences.

I-Self

The aspect of self that involves self-awareness and self-recognition, as distinguished from the "Me-Self" which relates to the social roles and attributes one identifies with.

Mental Structure

Concepts or frameworks in psychology that represent how the mind organizes its cognitive processes or functions.