Table 141
Table $14.1$ EUBANK -Refer to Table 14

question 199

Multiple Choice

Table 14.1
Table $14.1$
EUBANK
$\begin{array}{|l|r|l|r|}\hline \text { Assets } & & \text { Liabilities and Net Worth } & \\\hline & & & \\\hline \text { Deposits at the Fed } & \$ 40,000 & \text { Checkable Deposits } & \$ 500,000 \\\hline \text { Cash } & \$ 10,000 & \text { Net Worth } & \$ 20,000 \\\hline \text { Loans } & \$ 300,000 & & \\\hline \text { Securities } & \$ 150,000 & & \\\hline \text { Fed Stock } & \$ 20,000 & & \\\hline\end{array}$
-Refer to Table 14.1 for the balance sheet of Eubank, which holds no excess reserves. Assume that the required reserve ratio is 10%. If a student deposits $10,000 in cash into his checkable deposit account, Eubank will have _____ in excess reserves.

• A) $10,000
• B) $1,000
• C) $9,000
• D) $60,000
• E) $6,000

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Definitions:

Nervous System

The complex network of nerves and cells that transmits signals between different parts of the body, enabling coordination, response to stimuli, and the control of bodily functions.

Astrocyte

A type of star-shaped glial cell in the brain and spinal cord, involved in biochemical support of endothelial cells that form the blood-brain barrier.

Sensory Receptors

Specialized cells or nerve endings that respond to changes in the environment by generating signals that travel to the nervous system.

Action Potentials

Rapid, momentary changes in the electrical potential across a cell membrane, key in the transmission of nerve impulses.