ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Suppose the total reserves held by banks amount to R13.09 million. Banks hold R1 in excess
reserves for every R10 of required reserves held and the required reserve ratio (r) is 8.5%. The
total amount of currency = R60 million. Calculate the amount of required reserves, and total
amount of deposits held by banks, and the total amount of money supply in the system.

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