A bank faces a required reserve ratio of 5 percent. If the bank has $200 million of checkable deposits and $15 million of total reserves, then how large are the bank's excess reserves?

Which economic question depends on the incomes that people earn and the prices they pay for goods and services?

A) Why? B) How? C) For whom? D) What? E) Where?

When the coupon rate on newly issued bonds decreases relative to older, outstanding bonds, what happens?

A) Older bonds will sell for more than their face value. B) Older bonds can still be sold at their face value. C) The market price of the older bond falls in the secondary market. D) The market price of the older bond rises in the secondary market.