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please help me solve this problem. thank you! Riel Bank has a reserve ratio of 5%, $22 million issued in deposits, and $1,100,000 in actual
please help me solve this problem. thank you!
Riel Bank has a reserve ratio of 5%, $22 million issued in deposits, and $1,100,000 in actual reserves. Enter your responses below rounded to a whole number. Include a minus sign (-) for any negative values. a. The bank's initial desired reserves are $ 1100000 and its initial excess reserves are $ b. If $110,000 in currency is withdrawn in the bank, its excess reserves become $ (110000) c. The money multiplier in this banking system is 20 d. The final amount by which the money supply can change once the contraction of money in the banking system is complete is $ 2090000 XStep by Step Solution
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