What Is the Initial Impact of a $2,000 Deposit If

question 116

Multiple Choice

What is the initial impact of a $2,000 deposit if the reserve ratio is 10%?

• A)$200 in excess reserves and $1,800 in required reserves
• B)$1,800 in excess reserves and $200 in required reserves
• C)$2,00 in excess reserves and zero required reserves
• D)zero excess reserves and $2,000 in required reserves
• E)none of the above

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Definitions:

Ethical Dilemma

A situation in which a difficult choice has to be made between two or more morally acceptable or unacceptable alternatives.

Stealth Marketing

A marketing strategy that advertises a product to people without them realizing they are being marketed to.

Ethical Lapse

A clearly unethical choice.

Transparency

The practice of being open, honest, and straightforward about various activities, ensuring accessibility of information to stakeholders.