Bank of Your Class

Balance Sheet

Assets	Liabilities
Cash $4,000 Deposited with the fed $4,000 Loans $192,000	Total Deposits $120,000 Capital $80,000
Total $200,000	$200,000

Calculate the following if the RRR is changed to 5% Actual Resave (AR) of the Bank of Your Class Required Reserve RR) of the Bank of Your Class How much new loans (NL) the Bank of Your Class can create? What happened to money supply after the Fed reduced the RRR from 6% to 5%?