Table 10-1

-Refer to the Table 10-1.If $400 is deposited into the First Bank of Dawson City,which of the following happens?
A) The bank will be able to make additional loans totalling $400.
B) Excess reserves initially increase by $400.
C) Required reserves initially increase by $8000.
D) Excess reserves initially increase by $320.
Correct Answer:
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