-The above table gives the initial balance sheet for Mega Bank. Barney comes into the bank and deposits $50 of currency into his checking account. The desired reserve ratio is 3 percent. After Barney?s deposit, but before any other actions occur, MegaBank will have excess reserves of
A) $15.00.
B) $50.00.
C) $48.50.
D) $33.00.
Correct Answer:
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Q295: A bank can only make a loan
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