If Total Reserves for a Bank Are $12,000,excess Reserves Are

question 78

Multiple Choice

If total reserves for a bank are $12,000,excess reserves are $2,000,and demand deposits are $100,000,the money multiplier must be

• A)20.
• B)15.
• C)10.
• D)5.

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Definitions:

Eutrophication

The process by which a body of water becomes enriched in nutrients, leading to plant growth and depletion of oxygen.

Inorganic Fertilizer

Fertilizers made from synthetic, chemically manufactured compounds primarily to supply essential nutrients to plants.

Salty Soil

Soil that contains a high level of soluble salts, often making it unproductive for agriculture due to its effect on the osmotic balance of plants.