Question

Given CRR = 4 % and SLR = 16 % , the value of the money multiplier is:

Q: Answer-Given CRR = 4 % and SLR = 16 % , the value of the money multiplier is:

Money Multiplier corresponds to 1 LRR. LRR is equivalent to SLR plus CRR. Hence Money Multiplier denotes 1 20 . And after trying to solve it comes to 5 .

A 5

B 25

C 8.33

D 6.25

E 6.50

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Given CRR = 4 % and SLR = 16 % , the value of the money multiplier is:

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