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CTP · Question #765

(Topic 8) Which of the following would increase if the Fed were to announce a reduction in reserve requirements?

The correct answer is B. Monthly earnings credits. See the full explanation below for the reasoning.

Question

  • (Topic 8)

Which of the following would increase if the Fed were to announce a reduction in reserve requirements?

Options

  • AMonthly service charges
  • BMonthly earnings credits
  • CAverage collected balances
  • DFed float

How the community answered

(23 responses)
  • A
    9% (2)
  • B
    83% (19)
  • C
    4% (1)
  • D
    4% (1)

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