Incorrect Question 6 of 8 sapling learning Determine if the items below are true

Question

Incorrect Question 6 of 8 sapling learning Determine if the items below are true or false and place them in the proper bin. False True Reserve ratio required reserves/checkable-deposit liabilities Excess reserves refer to the amount of total reserves that banks are legally permitted to lend. n the U.S., the reserve ratio he primary reason why the Federal varies from state to state Reseve requires commercial banks to keep a specified amount of reserves is to ensure bank liquidity. Excess reserves actual reserves required reserves The reserve ratio determines the interest rate that customers receive for depositing money in a bank Next Previous Exit

Explanation / Answer

True

1.Excess reserves refers to the amount of total reserves that tha bank are legally permitted to lend.

2.Reserve ratio= required reserves/chekable deposit liablites

3. The main reason why fedral reserves ask commercial banks to keep specified amount of reserves is to maintain bank liquidity

4. Excess reserves= Actual reserves- required reserves

False

1.In U.S reserve requirments varies from state to state

2.The reserve ratio dosen't determine the interest rate earned on the deposits

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