Federal Funds

question 65

Multiple Choice

Federal funds

• A) are short-term funds transferred between financial institutions, usually for a period of one day.
• B) actually have nothing to do with the federal government.
• C) provide banks with an immediate infusion of reserves.
• D) are all of the above.
• E) are only A and B of the above.

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Definitions:

Foreign Corporation

A business entity that is registered and operates in a jurisdiction or country different from where it was originally incorporated.

Incorporated

The process by which a business is legally declared a corporate entity, separate from its owners.

Piercing The Veil

A legal concept that allows courts to hold shareholders or members of a corporation personally liable for the corporation's actions or debts under certain circumstances.

Nonprofit Corporation

An organization established for purposes other than making a profit, which typically benefits the public, a specific group of individuals, or the membership of the nonprofit.