If the Target Reserve Ratio in the Banking System Is

Multiple Choice

If the target reserve ratio in the banking system is 1%,there is no cash drain,and there are no excess reserves,a new deposit of $1 will lead to an expansion of the money supply of

A) $0.01.
B) $1.10.
C) $1.00.
D) $10.00.
E) $100.00.