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Which of the following is not considered an asset for a bank: Corporate loans. U

ID: 233700 • Letter: W

Question

Which of the following is not considered an asset for a bank: Corporate loans. U.S. government treasury bills. Customer deposits. U.S. government issued debt. A primary goal of monetary policy is to: Reduce the size of the banking sector. Prevent high rates of inflation. Maintain high interest rates. Eliminate trade barriers from other nations. The major tools of monetary policy available to the Federal Reserve System involve: Reserve requirements and tax policy. Reserve requirements and open-market operations. The discount rate and exchange rates. Open-market operations and changing government spending. The tool of monetary policy that involves the Fed's buying and selling of government bonds is: Moral suasion. The discount rate. Reserve requirements. Open-market operations.

Explanation / Answer

5) Customer deposits

Customer deposits are a liability to the bank.

6) Prevent high rates of inflation

Monetary policies are to maintain stable prices.

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