If loans are $300,000 . checkable deposits are $600,000 . and the required reserve ratio is 40 percent, then excess reserves are:

___ GDP is used to track the economy since it ___ correct for the impact of inflation (rising prices).

A. Nominal, does B. Nominal, does not C. Real, does D. Real, does not

Which of the following is considered financial capital?

A. Money that accumulates as profit in a firm's checking account. B. Stock and bonds sold to finance operations. C. Funds a firm has in a savings account to be used to buy equipment that wears out. D. All of these are financial capital.