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THE FED Assets Liabilities Loan to Bank ABC _(A)_ Reserves on deposit in (B)_ Bank ABC's Account BANK ABC Assets Liabilities Reserves on deposit _(C)
THE FED Assets Liabilities Loan to Bank ABC _(A)_ Reserves on deposit in (B)_ Bank ABC's Account BANK ABC Assets Liabilities Reserves on deposit _(C) Loan from the Fed (D)_ at the Fed Refer to Exhibit 12-1. If the Fed grants a $4 million loan to Bank ABC, the dollar amount that goes in blank (B) is O $4 million. O $0. O $4 million divided by the simple deposit multiplier. O $4 million multiplied by whatever the simple deposit multiplier is at the time
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