If the required reserve ratio is 20 percent and a bank has $100,000 in checkable deposits,then its:
A) required reserves are $500,000.
B) required reserves are $20,000.
C) assets are $500,000.
D) liabilities are $500,000.
E) net worth is $500,000.
Correct Answer:
Verified
Q30: A bank can legally hold reserves as:
A)gold
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Q36: Suppose the required reserve ratio is 0.1
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A)borrowers
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