Accredited ACH Professional (AAP) Practice Exam

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Prepare for the Accredited ACH Professional (AAP) Exam with tailored questions and study materials to enhance your understanding of ACH transactions and operations. Test your skills and readiness for this important certification!

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What year was the Federal Reserve System created?

1900
1913
1920
1935

The correct answer is: 1913

The Federal Reserve System was created in 1913 in response to a series of financial panics, particularly the panic of 1907. The aim was to establish a more stable and secure monetary and financial system in the United States. The Federal Reserve Act, signed into law by President Woodrow Wilson, laid the foundation for this central banking system, which plays a crucial role in regulating the economy, managing inflation, and influencing interest rates. The other years listed do not align with the establishment of the Federal Reserve. For instance, 1900 predates the creation of the system by over a decade, while 1920 and 1935 are significant in their own contexts, with the latter being when the Social Security Act was passed, but they are not relevant to the founding of the Federal Reserve.