A Commercial Bank Can Add to Its Actual Reserves by

question 180

Multiple Choice

A commercial bank can add to its actual reserves by

• A)lending money to bank customers.
• B)buying bonds from the public.
• C)buying bonds from a Federal Reserve Bank.
• D)borrowing from a Federal Reserve Bank.

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Definitions:

Nervous System

The network of nerve cells and fibers that transmits nerve impulses between parts of the body, overseeing both voluntary actions and the functioning of internal organs.

Homeostasis

The autonomous mechanism through which life forms uphold equilibrium as they adapt to variations in environmental conditions.

Osteoporosis

A condition characterized by decreased bone density and increased fragility of bones, leading to an elevated risk of fractures.

Urinary System

A group of organs in the body responsible for filtering blood to produce, store, and eliminate urine.