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Consider the following balance sheet for PNC.

AssetsLiabilities
Reserves912Deposits2400
Loans1488

Suppose that PNC is a typical bank and keeps only the required reserves. Given this data, what is the money multiplier?

Hint

Consider the following balance sheet for Wells Fargo.

AssetsLiabilities
Reserves532Deposits2800
Loans2268

Suppose that Wells Fargo is a typical bank and keeps only the required reserves. In addition, suppose that someone deposited $600.

Given this data, what is the total change in the M1 Money Supply?

Hint

Consider the following balance sheet for TD Bank.

AssetsLiabilities
Reserves600Deposits2500
Loans1900

Suppose that someone deposited $200 at TD Bank.

Given this data, what is the maximum amount by which the money supply will increase?

Hint