Multiple Choice
Table 16-3.
-Refer to Table 16-3. Starting from the situation as depicted by the T-account, if someone deposits $500 into the First Bank of Fairfield, and if the bank makes new loans so as to keep its reserve ratio unchanged, then the amount of new loans that it makes will be
A) $320.
B) $400.
C) $680.
D) $750.
Correct Answer:

Verified
Correct Answer:
Verified
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