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aryaelfkind aryaelfkind
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A year ago
The following table shows the balance sheet for Poor Baby Bank.




Refer to the table above. If the required reserve ratio increases to 25 percent, what could Poor Baby Bank do to satisfy the reserve requirements?

▸ Increase its deposits by $5.

▸ Increase its reserves by $3 by liquidating some of its long-term investments.

▸ Nothing. It has enough reserves.

▸ Increase its reserves by $4.50 by borrowing more from other banks.
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Macroeconomics

Macroeconomics


Edition: 3rd
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LoveameriahLoveameriah
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A year ago
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aryaelfkind Author
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Just got PERFECT on my quiz
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This calls for a celebration Person Raising Both Hands in Celebration
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I appreciate what you did here, answered it right Smiling Face with Open Mouth
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