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:

Nonverbal Signal

A form of communication without words, such as body language, gestures, and facial expressions, conveying messages.

Planned Presentation

A carefully organized and thought-out presentation, where content, timing, and delivery are systematically prepared in advance.

Caution

The practice of being careful, or avoiding risks and potential problems.

Space Zone

An area or sector designated for a specific purpose or function, often used in planning and organization contexts.