Which Statement Is True

question 68

Multiple Choice

Which statement is true?

• A)Vault cash is considered a secondary reserve.
• B)The larger the reserve requirement,the smaller the deposit expansion multiplier.
• C)Open market operations are borrowing by banks from the Fed.
• D)The comptroller of the currency does check clearing.

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Definitions:

Decision-Making Techniques

Methods or procedures applied to make choices among alternatives aimed at solving problems or achieving objectives.

Organizational Standards

Established benchmarks of quality or expectations for behavior and operations within an organization.

Escalating Commitment

The phenomenon where individuals or organizations continue to invest time, money, or resources into a failing course of action due to previously invested effort.

Allocation Of Resources

The process of distributing available resources among various competing needs or projects.