When the Fed Makes a Discount Loan to a Bank

question 35

Multiple Choice

When the Fed makes a discount loan to a bank, the assets and liabilities of both the bank and the Fed do which of the following?

• A)remain the same
• B)decrease by the amount of the loan
• C)increase by the amount of loan
• D)increase by 50 percent of the loan

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Definitions:

Fleishman Job Analysis

A systematic method for describing jobs and human attributes necessary to perform them, emphasizing abilities and aptitudes.

Subject-matter Experts

Individuals with profound knowledge or expertise in a particular field or topic, who contribute their insights to enhance understanding or performance.

Abilities

The skills and competencies a person possesses that enable them to perform specific tasks effectively.

Incumbents

Individuals currently holding a specific position or office.