Which of the Following Lists Contains Only Actions That Decrease

question 100

Multiple Choice

Which of the following lists contains only actions that decrease the money supply?

• A)making open-market purchases; raising the reserve requirement ratio
• B)making open-market purchases; lowering the reserve requirement ratio
• C)making open-market sales; raising the reserve requirement ratio
• D)making open-market sales; lowering the reserve requirement ratio

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Definitions:

Financial Calculator

A specialized calculator used in finance, banking, and investment sectors to solve problems related to time value of money, loan payments, interest rates, and other financial metrics.

Cash Flow Components

The distinct parts that make up a company's cash flow, including operations, investments, and financing activities.

Compound Interest

The addition of interest to the principal sum of a loan or deposit, where interest also earns interest from then on.

Simple Interest

Simple interest is interest calculated only on the principal amount, or on that portion of the principal amount which remains unpaid.