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Suppose a commerical bank is subject to a 20 percent reserve requirement. The bank currently has $37,000 in checkable deposits and $10.000 in outstanding loans.
Suppose a commerical bank is subject to a 20 percent reserve requirement. The bank currently has $37,000 in checkable deposits and $10.000 in outstanding loans. What is the whole dollar amount of additional loans the bank may loan out. (If the bank is short on reserves enter your number as a negative number)
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