Asked by Indiana Thier

Which of the following describes the practice of fractional-reserve banking?(1 point) Responses A bank retains all deposited funds. A bank retains all deposited funds. The United States issues a currency that cannot be exchanged for a set amount of gold. The United States issues a currency that cannot be exchanged for a set amount of gold. A bank loans a percentage of every depositor's funds to borrowers. A bank loans a percentage of every depositor's funds to borrowers. The United States issues a currency that can be exchanged for a set amount of gold.

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Answered by GPT 3.5
A bank loans a percentage of every depositor's funds to borrowers.