Assets

total reserves- $60,000

loans- $140,000

liabilities

demand deposits- $200,000

The balance sheet above shows the financial situation for the Carland National Bank. The central bank has set a reserve requirement of 10 percent. What is the maximum amount of additional money Carland National Bank can create? (1 points)

Question 16 options:

1)

$600,000

2)

$40,000

3)

$200,000

4)

$60,000

5)

$400,000