Answered: Suppose a bank has a total deposit of…

Suppose a bank has a total deposit of $748 million. If the bank's required reserves equal $253 million, total loans equal $368 million, then the bank has excess reserves of:

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Suppose a bank has a total deposit of $748 million. If the bank's required reserves equal $253 million, total loans equal $368 million, then the bank has excess reserves of:

Definition Definition Minimum amount that a commercial bank must hold in liquid assets in order to fulfill central bank regulations.

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