As a Portion of Total Assets Measured in Billions of Dollars

question 29

Multiple Choice

As a portion of total assets measured in billions of dollars, the most important asset on the Fed's balance sheet is:

• A) gold.
• B) securities.
• C) foreign exchange reserves.
• D) loans.

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Definitions:

Recorded

The act of entering financial transactions or information into accounting records.

Adjusting Entries

Entries made in the accounting records at the end of an accounting period to allocate incomes and expenses to the period in which they actually occurred.

Expense Accounts

Accounts used to record the consumption of economic benefits during the operational activities of a business.

Asset Accounts

Asset Accounts are financial ledger accounts that report the value of tangible and intangible items owned by an entity, such as cash, inventory, and equipment.