Concept:The minimum reserve that commercial banks must keep with the central bank is regulated by a specific monetary policy tool.
Explanation:The cash reserve ratio (CRR) is the percentage of total deposits that banks are legally required to deposit with the central bank.
This central bank requirement acts as a safety reserve and helps the central bank control liquidity in the economy.
The central bank sets the cash reserve ratio as the minimum amount, so banks cannot keep less than this proportion with it.
The liquidity ratio concerns the proportion of liquid assets banks must hold, but not specifically with the central bank.
The minimum lending rate is the interest rate charged by the central bank on loans to commercial banks, not a deposit requirement.
Aggregate credit ceiling refers to the maximum total credit banks can give, not the minimum deposit requirement.
Therefore, the minimum amount that banks must deposit with the central bank is determined by the cash reserve ratio.
Answer:B. cash reserve ratio