3. Third National Bank has reserves of $20,000 and checkable deposits of $100,000. The reserve ratio is

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3. Third National Bank has reserves of $20,000 and checkable deposits of $100,000. The reserve ratio is 20 percent. Households deposit $5,000 in currency into the bank and that currency is added to reserves. What level of excess reserves does the bank now have? LO35.3

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Economics

ISBN: 9781259723223

21st Edition

Authors: Campbell McConnell, Stanley Brue, Sean Flynn

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