Multiple Choice
If a bank has $100,000 of checkable deposits,a required reserve ratio of 20 percent,and it holds $40,000 in reserves,then the maximum deposit outflow it can sustain without altering its balance sheet is
A) $30,000.
B) $25,000.
C) $20,000.
D) $10,000.
Correct Answer:
Verified
Correct Answer:
Verified
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