Which of the following is the result of using "sweep accounts" in which high reserve ratio demand deposits are "swept" out of customers' accounts on Friday into higher interest-bearing savings accounts?
A) Increased reserve requirements for the bank.
B) Higher average balances in a DI's demand deposit.
C) Lower required reserve holdings at the Federal Reserve.
D) Lower interest burden for the bank.
Correct Answer:
Verified
Q90: For reserve calculation purposes,the period that begins
Q91: Which of the following is a mechanism
Q92: Under the lagged reserve accounting system,the
A)reserve maintenance
Q93: Under contemporaneous reserve accounting the
A)reserve maintenance period
Q94: One method that may be employed by
Q96: Which of the following liabilities have a
Q97: Which of the following rankings of liabilities
Q98: Which of the following observations is true
Q99: The minimum daily average reserve requirement is
Q100: In October 2008,the opportunity cost of holding
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents