The Minimum Liquidity Requirement Means That a Bank

question 96

Multiple Choice

The minimum liquidity requirement means that a bank:

• A) must never have a certain minimal reserve level of highly liquid assets.
• B) must always maintain a certain minimal reserve level of highly liquid assets.
• C) must always maintain a certain minimal reserve level of low liquid assets.
• D) must always maintain a certain minimal number of highly important customers.

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Definitions:

Test Reliability

The degree to which an assessment tool produces stable and consistent results over time.

Single Intelligence

The theory or belief that intelligence is a single, general ability that can be measured and quantified.

Mental Capacities

The various faculties of the mind, such as understanding, reasoning, thought, memory, and the ability to learn.

David Wechsler

A psychologist best known for developing several widely used intelligence tests, including the Wechsler Adult Intelligence Scale.