What is the size of the banks actual reserves

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Suppose the National Bank of Commerce has excess reserves of $10,000 and outstanding checkable deposits of $200,000. If the reserve ratio is 10 percent, what is the size of the bank's actual reserves?

If one bank in the economy has excess reserves of $3 million, and required reserves are 10 percent of transactions deposits under the assumptions of the simple multiplier formula, then eventually the money supply will increase by.

Reference no: EM1347318

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