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skelet666 [1.2K]
3 years ago
15

Label each statement as either "True" or "False" below.

Business
1 answer:
Umnica [9.8K]3 years ago
4 0

Answer:

The answer is

1. False

2. True

3. True

4. True

5. False

Explanation:

1. False. Banks does not keep the entire value of all customer deposits in the bank vault. Some customers deposit will be given out as loan and other Investment opportunities.

2. True. Loans given out to borrowers are part of customers' deposits.

3. True. Bank run occurs when customers try to withdraw their money from a bank at once, maybe the bank is in crisis.

4. True. Federal Deposit Insurance Corporation protects customers' deposits

5. False. The fractional reserve banking system requires all banks to keep part of customer deposits in the bank vault to prevent bank runs

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