Multiple choice

Question 1 

The first bankers were: 

A. goldsmiths. 

B. printers. 

C. storekeepers. 

D. innkeepers. 

Question 2

One of the main results of the Depository Institutions Deregulation and Monetary Control Act of 1980 may be to: 

A. lessen the number of financial institutions in the United States. 

B. increase the number of financial institutions in the United States. 

C. discourage the formation of big, nationwide, all-purpose financial institutions. 

D. make it easier for the member banks to borrow money from the Federal Reserve District Banks. 

Question 3

Commercial banks are required by law to hold reserves. These reserves are specified as percentages of a bank's: 

A. total assets. 

B. total liabilities. 

C. checkable deposit liabilities. 

D. holdings of government securities. 

Question 4

Foreigners, especially __________, consider American dollars, particularly one hundred dollar bills, as a much better medium of exchange and standard of value than there owns currencies. 

A. Germans 

B. Brazilians 

C. Asians 

D. Russians