If a Bank Has Excess Reserves of $15,000 and Demand

question 171

Multiple Choice

If a bank has excess reserves of $15,000 and demand deposit liabilities of $80,000,and if the reserve requirement is 20 percent,then the bank has total reserves of

• A)$11,000.
• B)$21,000.
• C)$31,000.
• D)$41,000.

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Definitions:

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Blood-Brain Barrier

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The reduction in size or wasting away of an organ or tissue due to disease, injury, or lack of use.

Hippocampus

A major component of the brain involved in memory formation, organization, and retrieval, as well as spatial navigation.