Transactions that occur when borrowing and lending excess money are called __________?

Question

Accepted Answer

Federal funds transaction - Federal funds transactions occur when banks lend or borrow excess reserves held at the central bank, usually overnight. These transactions help banks meet reserve requirements and manage liquidity efficiently, and the associated interest rate is called the federal funds rate.

MCQ Detailed View

Transactions that occur when borrowing and lending excess money are called __________?

Detailed Explanation

Discussion

Leave a Comment

MCQ Detailed View

Transactions that occur when borrowing and lending excess money are called __________?

Detailed Explanation

Related Questions

In cash flow analysis, two projects are compared using a common life approach, which is classified as&#8230;

Other factors held constant, a project with lesser liquidity is usually due to ____________?

In capital budgeting, the Internal Rate of Return (IRR) of a project is classified as its ____________?&#8230;

In evaluating independent projects, the results of Internal Rate of Return (IRR) and Net Present Value&#8230;

Discussion

Leave a Comment

In cash flow analysis, two projects are compared using a common life approach, which is classified as…

In capital budgeting, the Internal Rate of Return (IRR) of a project is classified as its ____________?…

In evaluating independent projects, the results of Internal Rate of Return (IRR) and Net Present Value…