Which of the following best describes how banks create money? A. Banks create checking account deposits when making loans from excess reserves. B. Banks charge fees for providing financial advice. C. Banks make loans from reserves. D. Banks charge higher interest rates on loans than they pay on deposits.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Which of the following best describes how banks create money? A. Banks create checking account deposits when making loans from excess ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
A firm has issued cumulative preferred stock with a $100 par value and a 12 percent annual dividend. For the past two years, the board of directors has decided not to pay a dividend.
Answers (1)
Doug Turner Food Processors wishes to introduce a new brand of dog biscuits composed of chicken and liver flavored biscuits that meet certain nutritional requirements.
Answers (1)
Which of the following statements about government deficit spending is most accurate? A. The federal government violates the law by running deficits because the U. S. Constitution requires the government to balance its budget each year. B.
Answers (1)
What advertising technique does Activia yogurt, Burger king, subway, etc. use to attract the crowd in buying there products?
Answers (1)
Imagine that you borrow $5,000 for one year and at the end of the year you repay the $5,000 plus $600 of interest. If the inflation rate was 4%, what was the real interest rate you paid
Answers (1)
New Questions in Business
Is prostitution legal?
Answers (2)
8. When a loan is amortized, a relatively high percentage of the payment goes to reduce the outstanding principal in the early years, and the principal repayment's percentage declines in the loan's later years. a. True b. False
Answers (1)
What's the first step in financial planning
Answers (1)
Checking a diversified company's business portfolio for the competitive advantage potential of cross-business strategic fits does not involve determining whether sister business units have value chain match-ups that offer opportunities to 1.
Answers (1)
The project manager is a systems analyst with a diverse set of skills-management, leadership, technical, conflict management, and customer relationship-who is responsible for initiating, planning, executing, and closing down a project A. True B.
Answers (2)