If the Reserve Ratio Was 10% for the Bank with the Balance

question 65

Multiple Choice

If the reserve ratio was 10% for the bank with the balance sheet listed below, then this bank is being

• A)aggressive as indicated by a small amount of excess reserves.
• B)aggressive as indicated by a large amount of excess reserves.
• C)cautious as indicated by a small amount of excess reserves.
• D)cautious as indicated by a large amount of excess reserves.

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