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Using table 6.1, what is the largest loan this bank can make? Select one: A. $500 B. $1,500 C. $2,000 D. $4,000 E. $6,000 Using
Using table 6.1, what is the largest loan this bank can make? Select one: A. $500 B. $1,500 C. $2,000 D. $4,000 E. $6,000 Using table 6.1, if someone deposits $500 of currency in this bank, what happens? Select one: A. Total reserves rise by $500 B. Excess reserves rise by $500 C. Required reserves rise by $500 D. Loans rise by $500 A currency withdrawal from a checking account: Select one: A. Immediately increases the money supply while reducing the ability of banks to make loans and create money in the future B. Immediately decreases the money supply and has no effect on the ability of banks to make loans and create money in the future C. Immediately decreases the money supply while reducing the ability of banks to make loans and create money in the future D. Has no immediate effect on the money supply while reducing the ability of banks to make loans and create money in the future
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