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Q:Question:simplified consolidated balance sheet shown below is for the entire commercial banking system and that all figures are in billions of dollars. The reserve ratio
Q:Question:simplified consolidated balance sheet shown below is for the entire commercial banking system and that all figures are in billions of dollars. The reserve ratio is 10 percent. Instructions: All answers to this question should be entered as whole numbers. a. What is the amount of excess reserves in this commercial banking system? 9 billion What is the maximum amount the banking system might lend? $[ billion Show in columns 1(a) and 1'(a) howA:Answer:A. required reserves = !0% of 200 = 20 billion exc...
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