The Table Given Below Records the Amount of New Deposits

question 13

Multiple Choice

The table given below records the amount of new deposits, the value of required reserves, and total amount loaned out by Banks 1, 2, and 3.
Table 12.3
$\begin{array}{l}\begin{array}{|c|c|c|c|}\hline \text { Bank } & \text { New Deposit } & \begin{array}{c}\text { Required } \\\text { Reserves }\end{array} & \text { Loans } \\\hline \text { Bank 1 } & \$ 10,000 & \$ 1,000 & \$ 9,000 \\\hline \text { Bank 2 } & \$ 9,000 & \$ 900 & \$ 8,100 \\\hline \text { Bank 3 } & \$ 8,100 & \$ 810 & \$ 7,290 \\\hline\end{array}\\\text { *Assume all excess reserves are loaned out. }\end{array}$
-Refer to Table 12.3. What is the reserve requirement?

• A) 11 percent
• B) 90 percent
• C) 10 percent
• D) 9 percent
• E) 19 percent

---

Definitions:

Direct-Service Staff

Employees or workers who provide frontline services directly to clients or customers in various sectors, such as healthcare, social services, or customer service, emphasizing the direct interaction and support provided to individuals.

Political Maneuvering

The strategic movement or negotiation among political actors or entities to gain advantage or achieve specific outcomes within the political arena.

Agency Policy

Agency policy refers to the rules, guidelines, and procedures established by organizations or governmental agencies to direct their operations and decision-making processes.

Power Resources

Various assets or capabilities that individuals, organizations, or nations possess, which can be used to influence or control outcomes.