A Bank Has $770 Million in Checkable Deposits

question 6

Multiple Choice

A bank has $770 million in checkable deposits. The bank has $85 million in reserves. The bank's required reserves are ________ and its excess reserves are ________.

• A)$85 million; $0
• B)$770 million; $85 million
• C)$89 million; $21 million
• D)$685 million; $8.5 million
• E)$77 million; $8 million

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Definitions:

Oxytocin

A hormone and neurotransmitter involved in childbirth and lactation, also known as the "love hormone," it plays a role in social bonding, sexual reproduction, and during and after childbirth.

Prefrontal Cortex

The part of the frontal lobes of the brain that is involved in decision making, problem-solving, control of purposeful behaviors, consciousness, and emotions.

Right Hemisphere

The half of the brain that is typically associated with spatial abilities, face recognition, visual imagery, and music perception.

Left Hemisphere

The half of the brain that is typically responsible for analytical tasks, language processing, and logical reasoning.