Question

what dollar amount should appear in the place of the letter s on the table?(h)reserve requirements| bank deposits | required reserve % | $ amount of required reserve | $ amount bank may loan || ---- | ---- | ---- | ---- || $2,000,000 | 5% | p | q || $2,000,000 | 10% | r | s || $2,000,000 | 15% | t | u |$180,000$20,000$200,000$1,800,000

Explanation:

Step1: Calculate required reserve R

$\text{Required Reserve } R = \$2,000,000 \times 10\% = \$200,000$

Step2: Calculate loanable amount S

$\text{Loanable Amount } S = \$2,000,000 - \$200,000 = \$1,800,000$

Answer:

$\$1,800,000$