With a 10 percent reserve requirement ratio, a $100 deposit into New Bank means that the maximum amount New Bank could lend is ________.

Name: With a 10 percent reserve requirement ratio, a $100 deposit into New Bank means that the maximum amount New Bank could lend is ________.
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With a reserve requirement ratio of 10%, New Bank must hold onto 10% of the $100 deposit, which is $10. Therefore, the maximum amount New Bank could lend is $90 ($100 deposit - $10 reserve requirement).

With a 10 Percent Reserve Requirement Ratio, a $100 Deposit