Suppose that Best National Bank currently has $100,000 in demand deposits and $65,000 in outstanding loans. The Federal Reserve has set the reserve requirement at 10%. Best National Reserves Required Reserves Excess Reserves (Dollars) (Dollars) (Dollars)

Suppose that Best National Bank currently has $100,000 in demand deposits and $65,000 in outstanding loans. The Federal Reserve has set the reserve requirement at 10%. Best National Reserves Required Reserves Excess Reserves (Dollars) (Dollars) (Dollars)

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter14: Banking And The Money Supply

Section: Chapter Questions

Problem 2.3P

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Question

Suppose that Best National Bank currently has $100,000 in demand deposits and $65,000 in outstanding loans. The Federal Reserve has set the
reserve requirement at 10%.
Best National
Reserves
Required Reserves
Excess Reserves
(Dollars)
(Dollars)
(Dollars)

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