For a commercial bank, the term "reserves" refers to
A) a banker's concern ("reservation") in making loans to an individual without a job.
B) the profit that the bank retains at the end of the year.
C) the cash in its vaults and its deposits at the Federal Reserve.
D) the net interest that it earns on loans.
C
You might also like to view...
Tom is willing to contribute $400 toward building a public park, Jack is willing to contribute $500, and Joe is willing to contribute $750
What is the total marginal value for the park if Tom, Jack, and Joe are the only residents in the neighborhood where the park is being built? A) $1,650 B) $1,050 C) $3,300 D) $2,350
Five of the 12 members of the Federal Open Market Committee (FOMC) must be _____.
(A) Bank presidents from Federal Reserve Districts. (B) From the Federal Advisory Council (FAC). (C) Appointed by the chair of the Board of Governors. (D) Elected by the Board of Governors.