27. When a bank borrows money from the Central Bank (The Fed), this fund is called A) federal funds. B) discount loans. C) federal loans. D) Treasury funds.
27. When a bank borrows money from the Central Bank (The Fed), this fund is called A) federal funds. B) discount loans. C) federal loans. D) Treasury funds.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![27. When a bank borrows money from the Central Bank (The Fed), this fund is called
A) federal funds.
B) discount loans.
C) federal loans.
D) Treasury funds.
28. The relationship between borrowed reserves (BR), non-loan monetary base (MBn), and monetary base
(MB) is
A) MB = MBn - BR.
B) BR = MBn - MB.
C) BR = MB - MBn.
D) MB = BR - MBn.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F806a35b5-6f17-4e30-a309-4994b7e5f816%2F196df147-7699-4425-906f-1d517cd5b3c2%2Fomwnzy_processed.jpeg&w=3840&q=75)
Transcribed Image Text:27. When a bank borrows money from the Central Bank (The Fed), this fund is called
A) federal funds.
B) discount loans.
C) federal loans.
D) Treasury funds.
28. The relationship between borrowed reserves (BR), non-loan monetary base (MBn), and monetary base
(MB) is
A) MB = MBn - BR.
B) BR = MBn - MB.
C) BR = MB - MBn.
D) MB = BR - MBn.
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