Suppose You Withdraw $500 from Your Checking Account Deposit and Bury

question 16

Multiple Choice

Suppose you withdraw $500 from your checking account deposit and bury it in a jar in your back yard.If the required reserve ratio is 10 percent,checking account deposits in the banking system as a whole could drop up to a maximum of

• A)$0.
• B)$50.
• C)$500.
• D)$5,000.

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Definitions:

Aorta

The largest and main systemic artery of the vertebrate body; arises from the left ventricle and branches to distribute blood to all parts of the body except the lungs.

Antidiuretic Hormone

A hormone produced by the pituitary gland that helps regulate the body's retention of water by increasing the concentration of urine.

Reabsorption

The selective removal of certain substances from the glomerular filtrate by the renal tubules and collecting ducts of the kidney, and their return into the blood.

Blood Pressure

The force exerted by circulating blood on the walls of blood vessels, a critical parameter for assessing cardiovascular health.