# Suppose all banks maintain a 100 percent reserve ratio. If an individual deposits Rs 1,000 of currency in a bank ? with Answer - Economics Mcqs | TestPrep

> Solved MCQ: Suppose all banks maintain a 100 percent reserve ratio. If an individual deposits Rs 1,000 of currency in a bank ? Correct Answer: E. The money supply is unaffected. Verified answer explanation for FPSC, PPSC, MDCAT, NTS, and CSS competitive exam preparation.

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# Suppose all banks maintain a 100 percent reserve ratio. If an individual deposits Rs 1,000 of currency in a bank ?

Direct Answer & Quick Reference

The correct option is **E. The money supply is unaffected**.

A. the money supply increases by more than Rs 1,000

B. the money supply increase by less than Rs 1,000

C. the money supply decrease by less than Rs 1,000

D. the money supply decrease by more than Rs 1,000

E. The money supply is unaffected **(Correct Answer)**

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Verified Key: E. The money supply is unaffected
Solved by 1,659+ students

Verified against official examination board answer keys and standard curriculum textbooks.

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