Question: I don't understand their answer can you simplify this so I can understand it Assume the banking system has $200 billion in demand deposits and

I don't understand their answer can you simplify this so I can understand it

Assume the banking system has $200 billion in demand deposits and $80 billion in reserves. In addition, assume that the required reserve ratio is 25%, Answer the following a g questions: a. How much excess reserves are in this system? b. What is the value of the money multiplier? c. How much of money supply will be created if the banking system lent out all of its excess reserves

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