Scenario 16-2 Imagine That Kristy Deposits $10,000 of Currency into Her Checking

question 87

Multiple Choice

Scenario 16-2
Imagine that Kristy deposits $10,000 of currency into her checking account deposit at Bank A and that the required reserve ratio is 20%.
-Refer to Scenario 16-2.As a result of Kristy's deposit,checking account deposits in the banking system as a whole (including the original deposit) could eventually increase up to a maximum of

• A) $8,000.
• B) $10,000.
• C) $50,000.
• D) $100,000.

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Definitions:

Acetylcholine

A neurotransmitter in the nervous system involved in muscle activation, memory, and learning.

Serotonin

A neurotransmitter associated with mood regulation, digestion, sleep, and other important physiological processes.

Epinephrine

A hormone and neurotransmitter also known as adrenaline; it increases heart rate, muscle strength, blood pressure, and sugar metabolism, and is used in medical scenarios to treat severe allergic reactions.

Neural Pathway

A network of neurons connected by synapses along which electrical impulses travel within the nervous system.