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Question.3267 - Suppose you deposit $ 1,000 in the First National Bank. Using a balance sheet, show the impact of your deposit on the bank's assets and liabilities. If the required reserve ratio is 10 percent, what is the maximum amount the bank can loan from this deposit

Answer Below:

Suppose xxx deposit xx the xxxxx National xxxx Using x balance xxxxx show xxx impact xx your xxxxxxx on xxx bank x assets xxx liabilities xx the xxxxxxxx reserve xxxxx is xxxxxxx what xx the xxxxxxx amount xxx bank xxx loan xxxx this xxxxxxxxxxx Liabilities xxxxxx Bank xxxxxx AmountDeposits xxxxx Reserves xx the xxxxxxx requirement xx then xxxxx will xx allowed xx loan xxx in xxxxx an xxxxxx equal xx for xxxxx dollars xx deposit

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