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Bank capital is listed on the ____ side of the bank's balance sheet because it represents a
____ of funds.
A) liability; use
B) liability; source
C) asset; use
D) asset; source
Answer: B
Diff: 1 Type: MC Page Ref: 294 - 295
Skill: Recall
Objective List: 13.1 Outline a bank's sources and uses of funds
Bank reserves include ____.
A) deposits at the Bank of Canada and short-term securities
B) vault cash and short-term securities
C) vault cash and deposits at the Bank of Canada
D) deposits at other banks and deposits at the Bank of Canada
Answer: C
Diff: 1 Type: MC Page Ref: 296
Skill: Recall
Objective List: 13.1 Outline a bank's sources and uses of funds
The fraction of chequable deposits that banks choose to hold are ____.
A) excess reserves
B) desired reserves
C) vault cash
D) total reserves
Answer: B
Diff: 1 Type: MC Page Ref: 296
Skill: Recall
Objective List: 13.1 Outline a bank's sources and uses of funds
Which of the following are reported as assets on a bank's balance sheet?
A) Borrowings
B) Reserves
C) Notice deposits
D) Bank capital
Answer: B
Diff: 1 Type: MC Page Ref: 296 - 297
Skill: Recall
Objective List: 13.1 Outline a bank's sources and uses of funds