Multiple Choice
Suppose a bank is exactly meeting its desired reserve ratio of 10 percent and a new deposit of
$75,000 is made. Immediately after the deposit is made, the bankʹs excess reserves equal
A) $7,500.
B) $67,500.
C) zero.
D) It is impossible to determine without additional information.
Correct Answer:
Verified
Correct Answer:
Verified
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