A Bank Holds Its Reserves as ________ and ________

question 184

Multiple Choice

A bank holds its reserves as ________ and ________.

• A)securities; loans
• B)securities; deposits at the Federal Reserve
• C)vault cash; deposits at the Federal Reserve
• D)vault cash; loans

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Definitions:

Price Elasticity

An estimation of the change in demanded quantity of a product in response to its price movements, signifying how prone consumers are to price changes.

Percentage Change

A mathematical calculation that shows how much a quantity has increased or decreased in comparison to its previous value, expressed as a percentage.

Union Labor

Workforce that is represented by a union, which negotiates wages, working conditions, and other benefits on their behalf.