When Apple put together a set of mobile apps with its iPhone, it was practicing

Suppose the required reserve ratio is 5%. If banks are conservative and choose not to loan all of their excess reserves, the actual money multiplier is

A) less than 20. B) greater than 20. C) equal to 20 D) equal to 5.

If the nominal interest rate is 20% per year, how much money can an individual borrow today if she wants to repay $100 in one year?

A) $80.00 B) $83.33 C) $120.00 D) $78.00 E) $121.00