A commercial bank has deposited liabilities of $100,000 their current reserves $37,000 and they have...

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Accounting

A commercial bank has deposited liabilities of $100,000 their current reserves $37,000 and they have required reserve ratio of 20%.

1. How much additional money can this commercial bank loan out? .

2. How much new money can be created in the banking systems if this specific bank increased their loan?

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