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ycow [4]
3 years ago
10

The Federal Reserve mandates that banks must keep a certain percentage of money on hand at particular times. What is this referr

ed to as?a. Reserve requirementb. Mandated moneyc. M1d. Ratio of reservatione. M3
Business
1 answer:
mars1129 [50]3 years ago
3 0

Answer:

a. Reserve requirement

Explanation:

As we know that the bank must hold the money percentage of the deposits made in cash as per the federal reserve so the same we called as a reserve requirement.

It is mandatory to keep the specific percentage for particular times

Therefore as per the given situation, the option a is correct

And, all the other options are incorrect

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