Assets
Liabilities
Reserves $150,000
Loans 250,000
Deposits $400,000
A: if the fed requires banks to hold 10 percent of deposits as reserves,how much in excess reserves does ABC now hold?
B. assume that all other banks hold only the required amount of reserves.if ABC DECIDES TO REDUCE ITS RESERVES TO ONLY THE REQUIRED AMOUNT ,BY HOW MUCH WOULD THE ECONMY'S MONY SUPPLY INCREASE?