$10$:$29$

$\mathrm{.}011$

$2^2$

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The Fed conducts an open market operation and increase a bank's excess reserves by $$7,000.$ Explain the first five rounds of the money creation process if the desired reserve ratio is $20\%$ and if people keep no currency outside of the banking system. $(5$ points$)$

$\backslash$table$[[$Rounds$,$Deposits,Reserves,Loans$],[1,$$$7,000,$$$1,400,$$$5,600$