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A Bank Has $200,000 in Deposits and $190,000 in Loans

Question 130

Multiple Choice

A bank has $200,000 in deposits and $190,000 in loans. It has loaned out all it can. It has a reserve ratio of

A) 2.5 percent.
B) 5 percent.
C) 9.5 percent.
D) 10 percent.

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