Scenario 29-2. The Monetary Policy of Tazi Is Controlled by the Country's

question 69

Multiple Choice

Scenario 29-2.
The Monetary Policy of Tazi is controlled by the country's central bank known as the Bank of Tazi.The local unit of currency is the taz.Aggregate banking statistics show that collectively the banks of Tazi hold 300 million tazes of required reserves,75 million tazes of excess reserves,have issued 7,500 million tazes of deposits,and hold 225 million tazes of Tazian Treasury bonds.Tazians prefer to use only demand deposits and so all money is on deposit at the bank.
-Refer to Scenario 29-2.Assuming the only other thing Tazian banks have on their balance sheets is loans,what is the value of existing loans made by Tazian banks?

• A)6,900 million tazes
• B)7,125 million tazes
• C)7,350 million tazes
• D)None of the above is correct.

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Definitions:

Spinal Cord

A long, thin, tubular structure made up of nervous tissue, which extends from the brain, down the back, and transmits nerve signals between the brain and the body.

Brain

A complex organ of the central nervous system, responsible for processing sensory information, regulating bodily functions, and enabling cognitive abilities such as thought and emotion.

Neuron

A specialized cell of the nervous system responsible for transmitting information throughout the body in the form of electrical and chemical signals.

Nerve Cell

Also known as a neuron, it is the fundamental unit of the nervous system responsible for transmitting information throughout the body via electrical and chemical signals.