Use the Information Below to Answer the Following Questions

question 39

Multiple Choice

Use the information below to answer the following questions.
Fact 24.6.1
The Bank of Speedy Creek has chosen the following initial balance sheet:

-Refer to Fact 24.6.1.Suppose all the banks in the banking system have the same desired reserve ratio as the Bank of Speedy Creek.If the currency drain ratio is 32 percent,what is the size of the money multiplier?

• A)3.3
• B)1.25
• C)5.0
• D)4.0
• E)2.7

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Definitions:

Cornea

The transparent front part of the eye that covers the iris, pupil, and anterior chamber, contributing primarily to the eye's ability to focus light.

Pupil

The black circular opening in the center of the eye that regulates the amount of light that enters.

Lens

A piece of glass or other transparent material with curved sides for concentrating or dispersing light rays, used in glasses or cameras to aid in focus.

Doctrine of Specific Nerve Energies

The principle that the nature of a perception is defined by the pathway over which sensory information is carried, rather than by the form of the stimulus itself.