Question 25 3 pts Assume a 14% reserve requirement, and government wishes to expand the...

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Question 25 3 pts Assume a 14% reserve requirement, and government wishes to expand the money supply by 8,638,831,299 dollars. What is the total increase in bank deposits required in theory? D Question 26 3 pts You are a small oil importer with limited financial reserves, and have an agreement to buy 1,000,000 barrels oil from Indonesia in six months at a fixed price in Indonesian Rupiah, and you have already pre-sold the oil to a US client contract is in dollars). What kind of contracts will you use: Rupiah futures, Oil futures, or both? And what are the greatest risk(s) you confront, once you are using futures contracts to hedge this transaction? oil futures: Oil prices increase Rupiah futures, Rupiah appreciates (increases in valve vs the US dollar Oil futures: O prices decrease Rupiah futures Rupiah depreciates (decreases in all the US dollar) None of these answers

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