Which of the Following Statements Is Correct

question 3

Multiple Choice

Which of the following statements is correct?

• A) An attachment of earnings order is available in both the High and County Court.
• B) Interest accrues on the debt while the attachment of earnings order is in force if it is over £5000.
• C) Once the attachment of earnings order is made no other method of enforcement can be used.
• D) Attachment of earnings orders can be used for any debtor whether employed or self-employed.

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Definitions:

New Reserves

Additional funds or assets that financial institutions or countries set aside to meet future liabilities or unforeseen needs.

Excess Reserves

The amount of reserves that banks hold over the minimum required by the central bank to back deposits.

Money Creation

The process by which the money supply of a country is increased through the activities of its central bank and commercial banking system.

Banking System

The network of banks and financial institutions that provide banking services, including deposits, loans, and currency exchange.