Northwest National Bank received new demand deposits (DD) of $1,650,000. The current reserve requirement is 6 percent.
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Northwest National Bank received new demand deposits (DD) of $1,650,000. The current reserve requirement is 6 percent. The bank has $80,000 in vault cash and $110,000 at the Federal Reserve that is not yet invested. How much in excess reserves does the bank have available to make new loans?
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Total reserves 80000 1...View the full answer
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Related Book For 
Financial Institutions, Markets and Money
ISBN: 978-1119330363
12th edition
Authors: David S. Kidwell, David W. Blackwell, David A. Whidbee, Richard W. Sias
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