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Bank x currently has $ 5 0 0 million in transaction deposits on its balance sheet. The Federal Reserve has set the reserve requirement at

Bank

x

currently has $

500

million in transaction deposits on its balance sheet. The

Federal Reserve has set the reserve requirement at

10 %

of transaction deposits. If

the reserve requirement is decreased to

8 %,

show the balance sheet of Bank X and

the Federal Reserve after the full effect of the reserve requirement change.

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