The "Preclusion Rule" Prevents or Precludes the Customer from Forging

question 46

True/False

The "preclusion rule" prevents or precludes the customer from forging a signature and then making a claim against the bank.

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Definitions:

M1 Money Supply

A category of money supply that includes all physical money like coins and currency, as well as demand deposits and other liquid assets held by the central bank.

Fed

The Federal Reserve System, often referred to as the Fed, is the central banking system of the United States, which oversees the nation's monetary policy by regulating banking institutions, stabilizing the financial system, and managing inflation and employment levels.

Checkable Deposits

Bank account balances that can be withdrawn using checks or electronic debit, typically found in checking accounts.

Money Supply

The total amount of monetary assets available in an economy at a specific time, including cash, coins, and balances in bank accounts.