corinam807 corinam807
  • 17-12-2020
  • Business
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The reserve requirement is 15 percent. Lucy deposits $600 into a bank. By how much do excess reserves change

Respuesta :

abiolataiwo2015
abiolataiwo2015 abiolataiwo2015
  • 21-12-2020

Answer:

$510

Explanation:

Calculation for By how much do excess reserves change

Using this formula

Change in excess reserve= Bank Deposits-(Reserve requirement*Deposit)

Let plug in the formula

Change in excess reserve=$600-($600*15%)

Change in excess reserve=$600-$90

Change in excess reserve=$510

Therefore By how much do excess reserves change is $510

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