Refer to Table 25-2. Suppose a transaction changes a bank's ...

[dakota nelson]

Refer to Table 25-2. Suppose a transaction changes a bank's balance sheet as indicated in the following T-account, and the required reserve ratio is 10 percent. As a result of the transaction, the bank can make a maximum loan of
 
  A) 0. B) 800. C) 7,200. D) 8,000.

Question 2

If your nominal wage rises faster than the price level, we can say your real wage has ________ and the purchasing power of your income has ________.
 
  A) risen; risen B) fallen; risen C) risen; fallen D) fallen; fallen

[jaykayy05]

Answer to Question 1

C

Answer to Question 2

A