The money multiplier show us how an initial deposit can lead to a higher final increase in the total money supply or it relates to the maximum amount of bank money that can be created, given a certain amount of money from central bank money.
The answer and procedures of the exercise are attached in a microsoft excel document.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.
