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The commercial banking system has $800,000 in checkable deposit liabilities and $115,000 in actual (total) reserves. If the reserve requirement is 12.5%, what is the

The commercial banking system has $800,000 in checkable deposit liabilities and $115,000 in actual (total) reserves. If the reserve requirement is 12.5%, what is the maximum amount of new loans that this banking system can grant? Group of answer choices

$120,000

$700,000

$15,000

$100,625

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