If the federal reserve decreases the reserve rate from 6% to 4%, how does
this affect the amount of money that would result because of fractional-
reserve banking from an initial deposit into a bank of $15,000?
o
a. it decreases the amount by $125,000.
o
b. it decreases the amount by $250,000.
c. it increases the amount by $125,000.
o
d. it increases the amount by $250,000.