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What is the net worth of a bank which has 11 million in assets and 10 million in liabilities? Calculate the deposit multiplier of a

  1. What is the net worth of a bank which has 11 million in assets and 10 million in liabilities?
  2. Calculate the deposit multiplier of a bank in the case of a Reserve requirement ratio (RRR) of 30 percent.
  3. Calculate the total increase in deposit of a bank in the following case:

Initial deposit: $500

RRR: 5%

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