Suppose Bill Gates Deposits $20 Million into His Checking Account

question 103

Multiple Choice

Suppose Bill Gates deposits $20 million into his checking account at Wells Fargo Bank.If the required reserve ratio is 10 percent,what is the maximum change in money supply?

• A)-$200 million
• B)-$180 million
• C)$2 million
• D)$180 million
• E)$200 million

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Definitions:

Planning Function

A fundamental management activity that involves setting objectives and determining appropriate strategies and actions to achieve them.

Set Direction

The process by which leaders define goals, objectives, and the course of action to be taken to achieve desired outcomes.

Ensure Results

The act of making certain that planned outcomes or goals are achieved effectively.

Follow-through

The act of continuing an action or task until it is completed or fully achieved.