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NEW QUESTION: 1
Encryption refers to the ciphertext into the plaintext message to be transmitted in the network.
A. True
B. False
Answer: B

NEW QUESTION: 2

A. Option B
B. Option A
C. Option D
D. Option C
Answer: D

NEW QUESTION: 3
Brian takes out $200 from an ATM against his checking account at his bank. He then gives the money to Rick who deposits the whole $200 in his checking account at bank (a different from that of
Brian's). In theory after the process finishes, the bank reserves will ______ and the M1 money supply will
_ _____.
A. decrease, remain the same.
B. remain the same, remain the same.
C. remain the same, decrease.
Answer: B
Explanation:
There should be no change in either bank reserves or M1. The process is just a transfer of money from one bank to another, and these two banks have the same reserve requirement and should maintain identical reserves. M1 remains the same because the total amount of deposits in the economy is the same: the money supply is affected only by injections of money by the Fed.