Which of the Following Is Not a Reason for Banks

question 41

Multiple Choice

Which of the following is not a reason for banks to hold liquid assets?

• A)To meet customers' needs for currency
• B)To meet capital requirements
• C)To meet required reserves
• D)To compensate for correspondent bank services
• E)To assist in the check clearing process

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Definitions:

Inferential Statistics

Involves using data from a sample to make estimates and test hypotheses about the characteristics of a larger population.

Descriptive Statistics

Statistical techniques that summarize, describe, and present data in an informative way, often through measures of central tendency and variability.

Inferential Statistics

A branch of statistics that infers properties of an underlying distribution from a sample, allowing for predictions and conclusions about a population.

Correlation

A statistical procedure for measuring the strength of association between two or more variables. More generally, the degree to which variables are related.