Questions
Questions

ECON 201 Sections 2 & 3, Winter 2025 practice final exam question set

Short answer

Timmy withdraws $11,438 from his bank account where the bank has a reserve requirement of 14%. How many dollars did the bank's required reserves drop due to this transaction? If the answer is $1,234 then use 1234 for your response.

View Explanation

View Explanation

Verified Answer
Please login to view
Step-by-Step Analysis
To understand the effect on required reserves, start by recognizing that when a customer withdraws ca......Login to view full explanation

Log in for full answers

We've collected over 50,000 authentic exam questions and detailed explanations from around the globe. Log in now and get instant access to the answers!

Similar Questions

Part 1Suppose ​$150,000150,000 is deposited at a bank. The required reserve ratio is 2525 ​percent, and the bank chooses not to hold any excess reserves but makes loans instead. What are the​ bank's total​ reserves?Part 2Total reserves are ​$[input]enter your response here .​ (Round your response to the nearest​ dollar.)

Timmy withdraws $11,749 from his bank account where the bank has a reserve requirement of 18%. How many dollars did the bank's required reserves drop due to this transaction? If the answer is $1,234 then use 1234 for your response.

First National Bank has $82 million in checkable deposits, $15 million in deposits with the Federal Reserve, $7 million cash in the bank vault, and $18 million in government bonds. If the minimum reserve ratio is 14%, how many millions of dollars is the bank required to keep in reserves? If the answer is $80 million, then use 80 for your response.

Suppose that from a new checkable deposit, First National Bank holds two million dollars in vault cash, eight million dollars on deposit with the Federal Reserve, and nine million dollars in excess reserves. Given this information, we can say First National Bank has ________ million dollars in required reserves.

More Practical Tools for Students Powered by AI Study Helper

Join us and instantly unlock extensive past papers & exclusive solutions to get a head start on your studies!