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If a bank has $6,000 in checkable deposits and the required reserve ratio is 0.2,then the bank can lend:
Units of Labor
A measurement in economics indicating the quantifiable effort or work provided by labor forces, often used to determine productivity or cost in production processes.
Capital
Financial assets or the financial value of assets, such as funds held in deposit accounts and/or the physical factories, machinery and equipment used to produce goods.
Profit-Maximizing Amounts
The levels of output or operation at which a business achieves the highest possible profit, determined by analyzing costs and revenues.
Total Outlay
The total amount of money spent or investment made in acquiring an asset, completing a project, or pursuing an activity.
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