If a Bank Had Demand Deposits of $80 Million and It

question 234

Multiple Choice

If a bank had demand deposits of $80 million and it faced a 25 percent required reserve ratio, it would be required to have how many reserves?

• A)​$20 million
• B)​$40 million
• C)​$60 million
• D)​$80 million

---

Definitions:

WT Transmission

WT Transmission, if referring to a specific technology or model, could denote a specialized transmission system; however, without further context, the exact nature of "WT Transmission" is unclear.

Clutches Applied

A phrase referring to the engagement of a clutch, which connects two rotating shafts or a rotating shaft to a stationary component, allowing power transfer.

Forward or Reverse

Terms indicating the direction of movement or operation, typically used in the context of vehicle transmissions or machinery controls.

Serial Communications Interface

A method of transferring information between a computer and peripheral devices, one bit at a time, sequentially over a communication channel.