When the fed extends a $100 discount loan to the first national bank, reserves in the banking system.

Question

08-11-2022
Business

Answered

When the fed extends a $100 discount loan to the first national bank, reserves in the banking system.

Answer :

Other Questions

Federal reserve policy requires sun-trust bank to hold 12% of its deposits as reserves. Sun-trust bank policy prevents it from holding excess reserves. If the f

if the reserve ratio is 5 percent, banks do not hold excess reserves, and people do not hold currency, then when the fed purchases $351 worth of government bond

The people in an economy have $25 million in money. There is only one bank where they deposit their money and it holds 10% of the deposits as reserves. What is

You work for a lender that requires a 20% down payment and uses the standard debt-to-income ratio to determine a person’s eligibility for a home loan. of the fo

a stock has an annual dividend of $10.00 and it is expected not to grow. it is believed thestock will sell for $100 one year from now, and an investor has a dis

what is the primary objective of ensuring systems and information are available for use whenever needed? group of answer choices to minimize system downtime. to

A company purchased p3,300 worth of merchandise. Transportation costs were an additional p290. The company returned p230 worth of merchandise and then paid the

he master production schedule in mrp is used to specify: a. the raw materials required to complete the product. b. the labor hours required for production. c. w

as a project manager, you make considerations when building a team. you decide how many people should be on the team, if they have the time to work on the proje

the viper retires a $49.1 million bond issue when the carrying value of the bonds is $52.6 million, but the market value of the bonds is $47.3 million. the reti

rafikiedu03 rafikiedu03 · Answer 1 · 2022-11-15T01:24:56-05:00

When the fed extends a $100 discount loan to the first national bank, reserves in the banking system it increase by $100.

A financial institution is a economic group that accepts deposits from the general public and creates a demand deposit while simultaneously making loans.[1] Lending activities can be without delay finished through the bank or circuitously through capital markets. Because banks play an critical function in economic balance and the financial system of a rustic, maximum jurisdictions exercise a excessive diploma of regulation over banks. Most international locations have institutionalised a machine referred to as fractional reserve banking, underneath which banks maintain liquid assets identical to only a component in their contemporary liabilities. Similarly to different regulations supposed to ensure liquidity, banks are typically situation to minimum capital necessities primarily based on an international set of capital standards, the Basel Accords.

Learn more about banking here

https://brainly.com/question/14274562

#SPJ4