Use the following balance sheet for the First Federal Bank to answer the next question. AssetsLiabilities + Net WorthReserves$60,000Checkable deposits$300,000Loans140,000Stock shares200,000Securities60,000 Property200,000 If First Federal Bank can make no additional loans, then the monetary multiplier is
A. 5.00.
B. 6.67.
C. 3.00.
D. 4.00.
Answer: A
Economics
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You know that a candy bar cost five cents in 1962 . You also know the CPI for 1962 and the CPI for today. Which of the following would you use to compute the price of the candy bar in today's prices?
a. five cents (1962 CPI / today's CPI) b. five cents ((today's CPI - 1962 CPI)/1962 CPI) c. five cents (today's CPI / 1962 CPI) d. five cents today's CPI - five cents 1962 CPI.
Economics
Which of the following would do the most to reduce a trade deficit?
a. increase domestic saving b. increase domestic political stability and respect of property rights c. other countries reduce their trade restrictions d. raise tariffs
Economics