If the Reserve Requirement Is 20 Percent and the Fed

question 293

Multiple Choice

If the reserve requirement is 20 percent and the Fed buys $10,000 worth of Treasury bonds,what is the change in the banks' total reserves?

• A)$2,000
• B)$10,000
• C)$20,000
• D)$8,000
• E)$100,000

---

Definitions:

File Explorer

The file management application included in Windows operating systems, used to browse, organize, and manage files and folders.

Windows Application

A software program designed to run on the Windows operating system, providing a wide range of functionalities.

Copy

A command used from a command prompt to transfer one or more files from one place to another.

Move Files

The process of transferring files from one location to another within a computer's storage system or between different storage devices or systems.