Understanding U.S. Currency Circulation

What is the first step in the process of currency circulation?

• Ordering notes from the Bureau of Engraving and Printing

• Distribution to commercial banks

• Issuance to the Federal Reserve banks

• Quality inspection of printed notes

Who is responsible for issuing U.S. currency?

• The U.S. Treasury

• Commercial Banks

• The Federal Reserve Board

• The Bureau of Engraving and Printing

How many Federal Reserve banks are there across the country?

• 20

• 50

• 12

• 5

How do Federal Reserve banks fulfill banks' cash orders?

• By printing additional currency

• By moving currency from the Federal Reserve's vault

• Through transfers from the U.S. Treasury

• By borrowing from other banks

What transforms printed notes into lawful money?

• The printing process at the Bureau of Engraving and Printing

• Being stored in the Federal Reserve's vault

• Passing through a quality inspection

• Issuance by the Federal Reserve Board to a Federal Reserve bank