If the Required Reserve Ratio Is 15 Percent,currency in Circulation

question 114

Multiple Choice

If the required reserve ratio is 15 percent,currency in circulation is $400 billion,checkable deposits are $800 billion,and excess reserves total $0.8 billion,then the M1 money multiplier is

• A)2.5.
• B)1.67.
• C)2.3.
• D)0.651.

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Definitions:

Body Composition

The percentages of fat, bone, water, and muscle in the human body, indicating the level of fitness and health.

Muscular Strength

The maximal force a muscle or muscle group can exert during a single effort.

Self-efficacy Expectations

An individual's belief in their ability to succeed in specific situations or accomplish a task, which can influence their actions and motivation.

Observational Learning

A learning process through watching others, then imitating or modeling the observed behaviors.