Answer the next question based on the following consolidated balance sheet for the commercial banking system.AssetsLiabilities + Net WorthReserves$50,000Checkable deposits$120,000Loans75,000Stock shares130,000Securities25,000 Property100,000 If the reserve requirement is 10%, and the above data is the balance sheet for the entire banking sector, then the maximum amount by which the commercial banking system can expand the supply of money by lending is
A. $120,000.
B. $380,000.
C. $700,000.
D. $440,000.
Answer: B
Economics
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