Exhibit 12-1 Loan to Bank ABC (A) Assets Reserves on deposit_(C)__ at the Fed O SO. Assets O$6 million. THE FED O $6 million multiplied by the simple deposit multiplier. Reserves on deposit in Bank ABC's Account BANK ABC Loan from the Fed Refer to Exhibit 12-1. If Bank ABC borrows $6 million from the Fed and this dollar amount is in blank (B), then the dollar amount in blank (C) is Liabilities O $6 million multiplied by whatever the simple deposit multiplier is at the time. (B) Liabilities

Fxhibit 12-1 Rirfr to Exhibit 12-1. If Bank ABC borrows 56 millian from the Fed and this dollar anount is in blank (B), thea the dollar amount in blank (C) is 95: 56 miltion muleiplied by the simple deponit mulkiplier. $6 miltion. S6 millign multiplied by whoteves the simple deponit mulbiplier is at the tiene