When a Car Is Weighed, It Is Allowed to Move

question 87

Multiple Choice

When a car is weighed, it is allowed to move over a scale which records a reading as the front wheels go over the scale, and a second reading when the rear wheels go over the scale. The weight of the car is equal to

• A) the weight under the front wheels.
• B) the weight under the rear wheels.
• C) the average of the two weights.
• D) the sum of the two weights.
• E) the difference of the two weights.

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Definitions:

Reserve Requirement

The minimum amount of funds that a bank must hold in reserve against deposit liabilities, set by the central bank.

Excess Reserves

The reserves held by banks over and above the legal or required reserve ratio set by central banking authorities.

New Loans

Recently issued debts or obligations by a lender to a borrower, typically involving a certain amount of money to be paid back with interest.

Balance Sheets

Financial statements that summarize a company's assets, liabilities, and shareholders' equity at a specific point in time.