why do banks keep some money in reserve rather than loaning out all of their deposits? check all that apply…

why do banks keep some money in reserve rather than loaning out all of their deposits? check all that apply. to ensure they have money on hand to loan to wealthy corporations because they are required to by law because they have to meet the withdrawal requests made by customers to ensure that bank runs will take place to avoid loaning out funds whenever possible

why do banks keep some money in reserve rather than loaning out all of their deposits? check all that apply. to ensure they have money on hand to loan to wealthy corporations because they are required to by law because they have to meet the withdrawal requests made by customers to ensure that bank runs will take place to avoid loaning out funds whenever possible

Answer

Brief Explanations:

Banks keep reserves for legal - compliance and to meet customer withdrawal needs. They don't keep reserves to ensure bank runs or to avoid lending. Lending is a key part of their business, and while they may want to loan to wealthy corporations, it's not the main reason for reserves.

Answer:

B. because they are required to by law C. because they have to meet the withdrawal requests made by customers