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Suppose a customer with a checking account at Wells Fargo, needs to borrow $90,000. What is the maximum this bank can lend? Wells Fargo Assets
Suppose a customer with a checking account at Wells Fargo, needs to borrow $90,000. What is the maximum this bank can lend? Wells Fargo Assets Liabilities Reserves +$100,000 Deposits $100,000 If the required reserve ratio is .20, or 20 percent, and Wells Fargo currently has no excess reserves, the maximum loan Wells Fargo can make as result of this transaction
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