Final answer:
Richmond is the capital of Virginia located on the James River, and it became the state capital after the British burned Williamsburg. It was chosen for its strategic location and contains one of the 12 federal reserve banks.
Step-by-step explanation:
The capital of Virginia on the James River, which contains one of the 12 federal reserve banks, and became the state capital after the British burned Williamsburg is Richmond. Originally, Jamestown was the first permanent English settlement established by the Virginia Company in 1607.
However, the capital moved a few times due to various reasons, such as sanitary issues and defense concerns, from Jamestown to Williamsburg and finally to Richmond. As for Williamsburg, it once thrived socially and economically, boasting the College of William and Mary and numerous shops that mirrored the prosperity from tobacco.
The burning of Williamsburg during the American Revolutionary War made it necessary to move the capital again. Richmond was chosen for its strategic inland location, which was less vulnerable to British naval attack. The city's significant history continued as it played a pivotal role during the Civil War as the capital of the Confederate States of America.