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QUESTION

If a bank has $100 million in deposits and $18 million in reserves with a reserve requirement of 0.15, a. How much are its required reserves? b. How

If a bank has $100 million in deposits and $18 million in reserves with a reserve requirement of 0.15,

            a.  How much are its required reserves?

            b.  How much excess reserves does it have?

            c.  How much can it lend?

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