Table 13-2 Refer to Table 13-2

question 118

Multiple Choice

Table 13-2 Refer to Table 13-2. If the Hometown Bank is holding $10,000 in excess reserves, then the reserve requirement is

• A) 2 percent.
• B) 5 percent.
• C) 7 percent.
• D) 10 percent.

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Definitions:

Denial

Denial is a defense mechanism where a person refuses to accept reality or facts, blocking external events from awareness.

Terminal Illness

A disease or condition that is incurable and expected to lead to the death of the patient within a relatively short period of time.

General Adaptation Syndrome

A three-stage response (alarm, resistance, exhaustion) that the body goes through when exposed to prolonged stress, as proposed by Hans Selye.

Panicked

A sudden, overwhelming feeling of fear or anxiety that often results in hasty or irrational behavior.