Question

Bank reserves include A. vault cash and deposits with the Federal Reserve. B. customer checking accounts and vault cash. C. deposits with the Federal Reserve and holdings of securities. D. vault cash and loans to bank customers. E. loans to bank customers and deposits with the Federal Reserve.

Answer 1

A. vault cash and deposits with the Federal Reserve.

Step-by-step explanation:

• A bank reserves include the vault deposits with the federal reserves and represent a commercial bank holding and are physically held by the bank in the central reserves.

• That is set by the minimum reserve requirements an some of the central banks ted to pay interest on these despots while others don't. They can be various types as reserves on deposits and vault on cash and borrowed reserves and free reserves.