A Small State Bank Currently Has Reserves Equal to $300,000

question 47

Multiple Choice

A small state bank currently has reserves equal to $300,000.If the state reserve requirement is 20%,but the bank currently maintains a 30% reserve,how much are the excess reserves the bank currently has?

• A) $200,000
• B) $100,000
• C) $300,000
• D) $500,000
• E) None of the above.

---

Definitions:

Tay-Sachs

A genetic disorder characterized by the destruction of nerve cells in the brain and spinal cord, leading to severe neurological impairment.

Metabolic Disorder

A genetic condition that results in metabolism problems, potentially affecting the body's ability to convert food into energy.

Lipids

A broad group of naturally occurring molecules that include fats, waxes, sterols, fat-soluble vitamins, and other related compounds, essential for various biological functions.

Cellular Respiration

This is a metabolic process in cells where chemical energy from oxygen molecules and nutrients is converted into adenosine triphosphate (ATP), and waste products are released.