Author Question: Refer to the information provided in Table 25.8 below to answer the question(s) that follow. Refer ... (Read 16 times)

WWatsford · **on:** Apr 19, 2019

Question 1

The Bank of Mesquite has $2 million in deposits and $550,000 in reserves. If excess reserves are equal to $150,000, the required reserve ratio is

◦ 15%.
◦ 20%.
◦ 35%.
◦ 65%.

Question 2

Refer to the information provided in Table 25.8 below to answer the question(s) that follow.

Refer to Table 25.8. If the required reserve ratio is 20%, Alamo Bank

◦ is loaned up.
◦ has too few reserves on hand.
◦ is meeting its required reserve ratio and has no excess reserves.
◦ has unloaned excess reserves of $100,000.

carlsona147 · **Reply #1 on:** Apr 19, 2019

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