Multiple Choice
If a bank has $10 million of deposits,a required reserve ratio of 10 percent,and $2 million in reserves,then it does not have enough reserves to support a deposit outflow of
A) $1.2 million.
B) $1.1 million.
C) $1 million.
D) either A or B of the above.
Correct Answer:
Verified
Correct Answer:
Verified
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