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Question
When banks use stored liquidity management, they
A. must pay interest on the funds that are stored.
B. store the funds at the U.S. Treasury.
C. necessarily increase the asset side of the balance sheet.
D. may shrink the balance sheet if cash is used as the liquidity adjustment mechanism.
E. threaten the capital position of the institution.
Answer
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Related questions
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A. separated commercial banking from insurance activities.
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A. has publicly-traded common stock.
B. provides equity funds to companies that already have publicly traded common stock.
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