Thepayments systemrefers to the system through which

Select one:

a. the Bank of Canada makes settlements with chartered banks.b. banks make payments to each other to settle transactions by their customers.c. bank notes are issued by the Bank of Canada.d. individuals make payments to each other to settle transactions.e. bankruptcies are declared.

If a customer of a bank makes a withdrawal from his chequable deposit account,

Select one:

a. the bank's reserve ratio remains the same.b. M2 decreases.c. M1 decreases.d. the bank's reserve ratio increases.e. the bank's reserve ratio decreases.

Suppose you think that the exchange rate will depreciate over the next month. What should you do now in anticipation of profit?

Select one:

a. Buy Canadian dollars.b. Buy US dollars.c. Sell Canadian dollars.d. Sell US dollars.e. Do both B and C.