Suppose a Bank Has $1,000 in Deposits and $100 in Reserves.If

question 289

Multiple Choice

Suppose a bank has $1,000 in deposits and $100 in reserves.If the desired reserve ratio is 5 percent,how much can this bank increase its loans?

• A)$0
• B)$400
• C)$80
• D)$50
• E)$100

---

Definitions:

Conflict-Theory

A theoretical framework in sociology that views social life as a competition among groups for limited resources.

Feminist Understandings

Interpretations or perspectives grounded in feminism, which emphasize equality between sexes and critique social structures that perpetuate gender inequalities.

Deviance

Behaviors or actions that violate social norms, including formally enacted rules as well as informal understandings of acceptable behavior.

Rate of Incarceration

The number of individuals within a population who are confined in a prison or jail per 100,000 of the population.