Refer to the information below, after a deposit of $10 billion of new currency into a chequing account in the banking system, the maximum amount by which the chartered banking system can expand the supply of money is: Consolidated balance sheet for the chartered banking system.Assume the desired reserve ratio is 10 percent.All figures are in billions.
A)$9 billion.
B)$45 billion.
C)$36 billion.
D)$90 billion.

Question

Refer to the information below, after a deposit of $10 billion of new currency into a chequing account in the banking system, the maximum amount by which the chartered banking system can expand the supply of money is: Consolidated balance sheet for the chartered banking system.Assume the desired reserve ratio is 10 percent.All figures are in billions. 
A)$9 billion. 
B)$45 billion. 
C)$36 billion. 
D)$90 billion.

Quizplus · Accepted Answer

The Answer of Refer to the information below, after a deposit of $10 billion of new currency into a chequing account in the banking system, the maximum amount by which the chartered banking system can expand the supply of money is: Consolidated balance sheet for the chartered banking system.Assume the desired reserve ratio is 10 percent.All figures are in billions. 
A)$9 billion. 
B)$45 billion. 
C)$36 billion. 
D)$90 billion.

Refer to the Information Below, After a Deposit of $10