Banking

Most banks are established

• by local governments

• to be credit unions

• as corporations

• to fulfill reserve requirements

When the money supply increases, nominal interest rate will

• increase
• decrease
• remain the same
• shift left

Schlongberg Sachs and Total Bankers are fictional finance companies found in various installments of what vehicle-stealing video game franchise?

A commercial bank sells $10k in securities.  The reserve requirement is 10%.  How much of the money can the bank lend?

• $10,000

• $9,000

• $1,000

• $0

Suppose that Captain Crunch bank has a customer deposit $5,000 and the bank's excess reserves go up by $4,000. The reserve ratio is

• 10%
• $1000
• 20%
• 40%

In accounting, the term "ROI" is often used to describe the financial performance of an asset. ROI stands for "return on" WHAT?

Coins and paper that are used as money; 'legal tender'.

• Money

• Transfer Payments

• Currency

• Liquidity

If you don’t repay a debt, what might a creditor place against your property (for example, your house) as collateral until you pay up?

Which are the following are NOT functions of commercial banks in credit creation?

• accept deposits.

• provide loans.

• issue bank drafts.

• control foreign exchange.

A 401(k) is a type of tax-advantage defined-contribution account designed to help you save for what withdrawal from working life?