If Actual Reserves in the Banking System Are $8,000, Checkable

question 235

Multiple Choice

If actual reserves in the banking system are $8,000, checkable deposits are $70,000, and the legal reserve ratio is 10 percent, then excess reserves are

• A) zero.
• B) $1,000.
• C) $2,000.
• D) $500.

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Definitions:

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A psychological and sometimes physical condition characterized by a compulsion to use cocaine despite adverse consequences.