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Answers B sell government securtes, raise reserve requirements and raise the discount rate and raise the discount rate D buy government securities, lower reserve requirements and raise the discount rate Question 15 0 out of 1 points can extend? Selected Answer D$200,000 A $2000 18.000 c $20,000 D $200.000 Wednesday, January 16, 2019 12 04 27 AM EST 40 1213AM 1/16/2079 e to search 8 9
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Answer #1

Q15.

Total reserves = Excess reserve + required reserves

= 20000+ RR

Hence the maximum amount of additional loans that a the bank can extend is the amount of excess reserves, is $20,000

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