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The Following Table Shows Free Donut Bank's Balance Sheet

Question 155

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The following table shows Free Donut Bank's balance sheet. Free Donut Bank has a required reserve ratio of 20 percent and has $75 in excess reserves.
The following table shows Free Donut Bank's balance sheet. Free Donut Bank has a required reserve ratio of 20 percent and has $75 in excess reserves. -Refer to the table above.How do Free Donut Bank's total liabilities change if the bank's cash equivalents increase by $100? A) Increase by $100 B) Increase by $50 C) Decrease by $100 D) Stay the same
-Refer to the table above.How do Free Donut Bank's total liabilities change if the bank's cash equivalents increase by $100?


A) Increase by $100
B) Increase by $50
C) Decrease by $100
D) Stay the same

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