What Are the Two Policy-Making Bodies of the Federal Reserve

question 111

Multiple Choice

What are the two policy-making bodies of the Federal Reserve?

• A) the Board of Governors and the U.S. Congress
• B) the Board of Governors and the Federal Open Market Committee
• C) the Board of Governors and the Presidents' office
• D) the Federal Open Market Committee and the U.S. Congress

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Definitions:

Cash Inflows

Money received by a business from its operational activities, investments, or financing.

Discount Rate

The interest rate used in discounted cash flow (DCF) analysis to determine the present value of future cash flows.

Net Present Value

A financial metric that calculates the current value of all future cash flows generated by a project, minus the initial investment cost.

Working Capital

The difference between a company's current assets and current liabilities, indicating short-term financial health and operational efficiency.