The reserve requirement is 12 percent.Lucy deposits $600 into a bank.By how much do excess reserves change?
A)$600
B)$528
C)$72
D)$12

Name: The reserve requirement is 12 percent.Lucy deposits $600 into a bank.By how much do excess reserves change? A)$600 B)$528 C)$72 D)$12
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Quizplus · Accepted Answer

The reserve requirement is 12%, so the bank must keep $72 (12% of $600) as required reserves. The excess reserves are the remaining amount, which is $600 - $72 = $528.

The Reserve Requirement Is 12 Percent