Table 11-4. -Refer to Table 11-4. If the Bank Faces a Reserve

question 374

Multiple Choice

Table 11-4.

-Refer to Table 11-4. If the bank faces a reserve requirement of 10 percent, then the bank

• A) is in a position to make a new loan of $15,000.
• B) has fewer reserves than are required.
• C) has excess reserves of $10,000.
• D) None of the above is correct.

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Definitions:

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The ability to quickly adapt one's thinking or approach in response to changing circumstances or new information.

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A cognitive process in which a person focuses on finding a single, well-established answer to a problem.

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Activities requiring physical effort, carried out to sustain or improve health and fitness.

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