Which of the Below Statements Is FALSE

question 23

Multiple Choice

Which of the below statements is FALSE?

• A) At one time, thrifts were permitted to accept deposits transferable by check (negotiable), or, as they are more popularly known, checking accounts.
• B) Depository institutions are highly regulated because of the important role that they play in the country's financial system.
• C) Demand deposit accounts are the principal means that individuals and business entities use for making payments, and government monetary policy is implemented through the banking system.
• D) Securities held for the purpose of satisfying net withdrawals and customer loan demands are sometimes referred to as secondary reserves.

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Definitions:

Environmental Uncertainty

A condition in which there is a lack of information about environmental factors that could affect the decision-making process.

Pyramid-Shaped

Describing a structure or hierarchy where each level progressively narrows to a point at the top, typical of organizational charts.

Emotional Insecurity

A state of feeling uncertain, anxious, or less confident about oneself, often impacting one's mental well-being and relationships.

Prestige Power

The power stemming from one’s status and reputation.