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Suppose a Transaction Changes the Balance Sheet of Wells Fargo

Question 129

Multiple Choice

Suppose a transaction changes the balance sheet of Wells Fargo bank as indicated in the following T-account. Suppose a transaction changes the balance sheet of Wells Fargo bank as indicated in the following T-account. At this point, what percentage of the new deposits does Wells Fargo hold in reserves? A) 100 percent B) 10 percent C) 5 percent D) 1 percent At this point, what percentage of the new deposits does Wells Fargo hold in reserves?


A) 100 percent
B) 10 percent
C) 5 percent
D) 1 percent

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