Suppose the required reserve ratio is 020 total bank, Managerial Economics

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Suppose the required reserve ratio is 020 total bank

Suppose the required reserve ratio is 0.20. Total bank deposits are $200 million and the bank holds $50 million in reserves. How much more money could the bank create if it does not hold excess reserves?

A. $5 million

B. $25 million

C. $30 million

D. $50 million

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Managerial Economics: Suppose the required reserve ratio is 020 total bank

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Managerial Economics: Suppose the required reserve ratio is 020 total bank

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