Philippines Central Bank (BSP) plans to increase the Required Reserve Ratio (RRR) of banks from 2% to 3% in July 2021. Reserves by banks in BSP =100, Gov't securities of BSP =400. Loans to Bank. You may use T1&T2 below to facilitate your problem solving T1 Required Reserve Ratio 0.02 (PHP Billion) BSP Balance Sheet COMM'L BANKS' Balance Sheet ASSETS ASSETS Govt'Securities 400 Reserves Loans to banks 100 Loans LIABILITIES LIABILITIES Reserves 100 Deposits Cash Loans owed to BSP Money Multiplier (M1=Cash+deposit) T2 Required Reserve Ratio 0.03 (PHP Billion) BSP COMM'L BAMKS ASSETS ASSETS Govt'Securities 400 Reserves Loans to banks 100 LoansLoans to banks 100 Loans LIABILITIES LIABILITIES Reserves 100 Deposits Cash Loans owed to BSP Money Multiplier ? (M1=Cash+deposit) Given RRR = .02, how many times will deposit in banks be compared to Reserves? [ Select ] Given RRR = .02, how much loans, in pesos, can the banks extend to their borrowers? [ Select ] Given RRR =.02, BSP plans to reduce loans to banks to PHP50 billion. How much loans can bank extend? [ Select ] When RRR is increased from 2% to 3%, what is the effect on M1? [ Select ]