For a Single Bank in a Large Banking System,excess Reserves

question 147

Multiple Choice

For a single bank in a large banking system,excess reserves are equal to the:

• A) Amount of money that the Federal Reserve System makes available for loans.
• B) Amount of reserves that a bank must hold above the loans that it makes.
• C) Amount of loans a bank can make after meeting the reserve requirement.
• D) Difference between transaction account balances and loans.

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