Demand Deposits Are Classified as Money Because

question 202

Multiple Choice

Demand deposits are classified as money because:

• A)they can be readily used in the making of purchases and payment of debts.
• B)banks hold currency equal to the value of their outstanding deposits.
• C)they are ultimately the obligations of the government.
• D)they earn interest income for the depositor.

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Definitions:

Spatial Zones

The invisible boundaries surrounding individuals that define their personal space and comfort levels during social interactions.

Immediacy

The quality of bringing one into close or direct engagement; a sense of warmth and closeness in communication or interaction.

Arousal

Feelings of interest and excitement communicated by such nonverbal cues as vocal expressions, facial expressions, and gestures.

Dominance

Power, status, and control communicated by such nonverbal cues as a relaxed posture, greater personal space, and protected personal space.