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4 A single commercial bank must meet a 25 percent reserve requirement If it initially has no excess reserves and then 2 000 in cash

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4 A single commercial bank must meet a 25 percent reserve requirement If it initially has no excess reserves and then 2 000 in cash is deposited in the bank it can increase its loans by a maximum of A 1 250 B 2 000 C 1 750 D 1 500

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