Question 4 (1 point) Who chairs the Board of Directors of the Bank of Canada? O a) the Minister of Finance O O b) the Prime Minister the governor of the Bank of Canada 12 Od) the Governor General 14 15Question 8 (1 point) Table 10-2 Last Bank of Panorama Springs Assets: Liabilities: Reserves $25,000 Deposits $175,000 Loans $150,000 Refer to the Table 10-2. If the Last Bank of Panorama Springs is holding $4000 in excess reserves, what is the reserve requirement? ( a) 8 percent (b) 9 percent c) 10 percent d) 12 percent O SearchQuestion 2 (1 point) Suppose the reserve ratio is 20 percent and banks do not hold excess reserves. Suppose the Bank of Canada sells $10 million of bonds to the public. Which statement best describes the effects of this open-market operation? a) Bank reserves increase by $10 million, and the money supply eventually increases by $50 million. b) Bank reserves increase by $1 million, and the money supply eventually increases by $10 million. 12 C) Bank reserves decrease by $10 million, and the money supply eventually decreases by $50 million. 15 O Bank reserves decrease by $1 million, and the money supply eventually increases by $10 million.Question 10 (1 point) Table 10-4 The following information pertains to the Bank of Moncton. Assets: Liabilities: Reserves $7000 Deposits $140.000 Loans $133,000 Refer to the Table 10-4. If the Bank of Moncton has lent out all the money it can. then what is its reserve ratio? a) 1 percent b) 5 percent c) 10 percent d) 15 percentQuestion 7 (1 point) As the reserve ratio increases, what happens to the money multiplier and money supply? O a ) The money multiplier increases, but the money supply does not change. b) The money multiplier does not change, but the money supply increases. c) The money multiplier and the money supply both increase. d) The money multiplier and the money supply both decrease.Question 3 (1 point) For how long is the governor of the Bank of Canada appointed? 6 O a two-year term 9 O b) a five-year term 12 c) a seve a seven-year term O d) a life term 15Question 9 (1 point) Table 10-2 Last Bank of Panorama Springs Assets: Liabilities: Reserves $25.000 Deposits $175,000 Loans $150.000 Refer to the Table 10-2. If the reserve requirement is 10 percent and then someone deposits $50,000 into the bank, what is the bank's reserve position? a) It will have $75,000 in excess reserves (b) It will need to raise reserves by $5000 (c) It will have $52,500 in excess reserves. O d) It will have excess reserves of $2500.Question 13 (1 point) Which organization plays the role of a central bank in Canada? a) the Royal Bank of Canada (b) the Canadian Imperial Bank of Commerce TD Canada Trust Od) the Bank of CanadaQuestion 15 (1 point) Which list ranks the Bank of Canada's monetary policy tools from most to least frequently used? a) bank rate changes; reserve requirement changes; open-market transactions b) bank rate changes; open-market transactions; reserve requirement changes open-market transactions; reserve requirement changes; bank rate changes O d) open-market transactions; bank rate changes; reserve requirement changesQuestion 11 (1 point) Which of the following is included in M1-? a) credit cards O b ) currency d debit cards Od) nonpersonal demand depositsQuestion 14 (1 point) If the reserve ratio is 5 percent and a bank receives a new deposit of $500, by how much can the bank increase its new loans? a) by $21 b) by $279 c by $475 O d) by $500Question 6 (1 point) Table 10-3 The following information pertains to the Bank of Kamloops. Assets: Liabilities: Reserves $120 Deposits $1200 9 Loans $1080 Refer to the Table 10-3. If the Bank of Kamloops has loaned out all the money it wants, given its deposits, what is its 12 reserve ratio? ( a) 1 percent 15 b) 5 percent c) 10 percentQuestion 1 (1 point) Which statement best defines barter? a) It is a transaction that requires a double coincidence of wants Ob) It is an exchange of goods for money. c) It is a generally accepted legal tender. 12 Od) It is an exchange of money for foreign currency. 15Question 5 (1 point) In Wellville, the money supply is $80,000 and reserves are $12,800. Assuming that people hold only deposits and no currency, and that banks hold only required reserves, what is the required reserve ratio? a) 12 percent b) 14.5 percent c) 16 percent 2 O d) 29 percentQuestion 12 (1 point) What is a generally accepted medium of exchange? a) a plane ticket Ob) federal government bonds diamonds Od) currencyAssets: Liabilities: 3 Reserves $120 Deposits $1200 Loans $1080 6 Refer to the Table 10-3. If the Bank of Kamloops has loaned out all the money it wants, given its deposits, what is its reserve ratio? 9 a) 1 percent 12 b) 5 percent 15 c) 10 percent O d) 15 percent Question 7 (1 point )