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Stephanie takes the $3,000 she has in her safe at home and deposits it into a checking account in a bank. The required reserve ratio is 20 percent. The maximum change in checkable deposits brought about
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Stephanie takes the $3,000 she has in her safe at home and deposits it into a checking account in a bank. The required reserve ratio is 20 percent. The maximum change in checkable deposits brought about by the banking system through new lending is _____.

User Jorrebor
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Answer:

The answer is $15000

Step-by-step explanation:

maximum change=1/r * change in R= 1/0.2 * $3,000 = $15000

User DoomMuffins
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