Main content
Course: AP??/College Macroeconomics?>?Unit 4
Lesson 4: Banking and the expansion of the money supply- Bank balance sheets in a fractional reserve system
- Money creation in a fractional reserve system
- Bank balance sheet free response question
- Lesson summary: banking and the expansion of the money supply
- Introduction to fractional reserve banking
- Required reserves, excess reserves, and bank behavior
- The money multiplier and the expansion of the money supply
? 2024 Khan AcademyTerms of usePrivacy PolicyCookie Notice
Required reserves, excess reserves, and bank behavior
Problem
Mesa Verde Bank has in demand deposits, in bonds, and no owner's equity. It has a reserve requirement of .
How much does Mesa Verde need to keep in required reserves?