A Bank That Has Assets of $85 Billion and a Net

question 106

Multiple Choice

A bank that has assets of $85 billion and a net worth of $10 billion must have

• A) liabilities of $75 billion.
• B) excess reserves of $10 billion.
• C) liabilities of $10 billion.
• D) excess reserves of $75 billion.

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Definitions:

Fraternal Twins

Twins that develop from two separate eggs fertilized by different sperm cells, sharing about 50% of their DNA, similar to regular siblings.

Identical Twins

Identical twins result from a single fertilized egg splitting and developing into two individuals with exactly the same genetic material.

Intelligence

The ability to learn from experience, adapt to new situations, understand and handle abstract concepts, and use knowledge to manipulate one's environment.

Personality Traits

Enduring characteristics that describe an individual's behavior, such as introversion, extroversion, and agreeableness.