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Moving to another question will save this response Question a Question 42 11 points A commercial bank has required reserves o
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Answer #1

Answer 42

Formula :

Required reserve = Required reserve ratio*Checkable deposits,

Here Required reserve ratio = 20% = 0.20 and Required reserves = 60 million

=> 60 million = 0.20*Checkable deposits

=> Checkable deposits = (60 million)/0.2 = 300 million

Hence, Commercial Bank Checkable deposit liabilities = $300 million.

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