If M = the quantity of money, m the money multiplier, MB the Monetary Base, C = Currency, D = Deposits, R = Reserves, RR equals required reserves, rD = the required reserve rate and ER = Excess reserves, then RR would equal:

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RR equals the required reserves, which is calculated as the required reserve rate (rD) multiplied by the deposits (D). The required reserve rate is the percentage of deposits that banks are required to hold as reserves. Excess reserves (ER) are the reserves that banks hold in excess of the required reserves. The Monetary Base (MB) is the sum of currency (C) and reserves (R). Therefore, the required reserves (RR) can be calculated as (MB - C) - ER.

If M = the Quantity of Money, M the Money