-The Table Shows the Balance Sheet for Ralph's Bank

question 232

Multiple Choice

$$\begin{array} { | l | l } \hline { \text { Assets } } & { \text { Liabilities } } \\\hline \text { Reserves } & \\\$ 500 & \text { Deposits } \\\text { Loans } & \$ 3,000 \\\underline{\$ 2,500} & \\\text { Total assets } & \text { Total } \\\$ 1,000 & \$ 3,000 \\\hline\end{array}$$
-The table shows the balance sheet for Ralph's Bank.If the desired reserve ratio is 15 percent,the maximum additional amount that Ralph's Bank can loan is equal to ________.

• A) $50
• B) $500
• C) $3,000
• D) $2,500

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Definitions:

P-bar

The average proportion of units in a sample that exhibit a particular characteristic, used in quality control processes.

Z-value

A statistical measure representing the number of standard deviations from the mean a data point is.

Lower Limit

The lowest value in a set of data, or the minimum value that a certain variable, function, or sequence can assume.

Specification Limits

Pre-determined bounds that define the acceptable range of variation for a product's characteristics or a process's outputs.