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Exhibit 15-1 -Refer to Exhibit 15-1. If the Interest Rate on Loans

Question 14

Multiple Choice

Exhibit 15-1
Exhibit 15-1 -Refer to Exhibit 15-1. If the interest rate on loans is 10 percent, the annual cost to Eubank of holding excess reserves is A) 10 percent of $500,000 B) 10 percent of net worth C) 10 percent of excess reserves D) $10,000 E) 0
-Refer to Exhibit 15-1. If the interest rate on loans is 10 percent, the annual cost to Eubank of holding excess reserves is


A) 10 percent of $500,000
B) 10 percent of net worth
C) 10 percent of excess reserves
D) $10,000
E) 0

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