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The CKN Bank Has Actual Reserves of $240 Million, Deposits

Question 38

Multiple Choice

The CKN Bank has actual reserves of $240 million, deposits of $800 million, and a reserve requirement of 10 percent. CKN Bank's excess reserves are:


A) $24 million.
B) $80 million.
C) $160 million.
D) $720 million.

Correct Answer:

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