Southland Bank has $10,000 in excess reserves and $25,000 in actual reserves,if the target reserve ratio is 20%,what are the values of demand deposit and outstanding loans? Assume that the bank has no other assets or liabilities.

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The Answer of Southland Bank has $10,000 in excess reserves and $25,000 in actual reserves,if the target reserve ratio is 20%,what are the values of demand deposit and outstanding loans? Assume that the bank has no other assets or liabilities.

Southland Bank Has $10,000 in Excess Reserves and $25,000 in Actual