Question 5 (3 points) Which of the following is not considered an asset for a ba

ID: 1174304 • Letter: Q

Question

Question 5 (3 points)

Which of the following is not considered an asset for a bank:

Question 5 options:

Customer deposits.

U.S. government treasury bills.

Corporate loans.

U.S. government issued debt.

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Question 6 (3 points)

A primary goal of monetary policy is to:

Question 6 options:

Eliminate trade barriers from other nations.

Maintain high interest rates.

Prevent high rates of inflation.

Reduce the size of the banking sector.

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Question 7 (3 points)

The major tools of monetary policy available to the Federal Reserve System involve:

Question 7 options:

Open-market operations and changing government spending.

Reserve requirements and tax policy.

The discount rate and exchange rates.

Reserve requirements and open-market operations.

Customer deposits.

U.S. government treasury bills.

Corporate loans.

U.S. government issued debt.

Ans5) the correct option is U.S. government issued debt. While other options are asset for a bank.

Ans6) the correct option is Prevent high rates of inflation. Monetary policy promotes price stability.

Ans7) the correct option is Reserve requirements and open-market operations. Fed can use these to change the money supply in economy.

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