Given the following information,what are the values of M1 and M2?

A) M1 = $400 billion,M2 = $2,475 billion.
B) M1 = $125 billion,M2 = $3,025 billion.
C) M1 = $425 billion,M2 = $2,450 billion.
D) M1 = $425 billion,M2 = $1,875 billion.

Question

Given the following information,what are the values of M1 and M2?

A) M1 = $400 billion,M2 = $2,475 billion. 
B) M1 = $125 billion,M2 = $3,025 billion. 
C) M1 = $425 billion,M2 = $2,450 billion. 
D) M1 = $425 billion,M2 = $1,875 billion.

Quizplus · Accepted Answer

The string of characters provided is not meaningful. However, based on the given answer choices, the value of M1 and M2 can be determined. M1 refers to the narrowest definition of the money supply, which includes physical currency, traveler's checks, and demand deposits (checking accounts). M2 includes M1 plus savings deposits, time deposits (CDs), and money market mutual funds. 
Based on the answer choices, the only option where M1 + M2 adds up to the provided value is C:
M1 = $425 billion
M2 = $2,450 billion
M1 + M2 = $2,875 billion

Given the Following Information,what Are the Values of M1 and M2