Economics · Class 12
Money Multiplier Calculator for Class 12 Money & Banking
Calculate the simple money or credit multiplier from the Legal Reserve Ratio (LRR) percentage.
Formula
Money Multiplier = 1 ÷ LRR (LRR in decimal form)
Worked example
At an LRR of 20%, the simple money multiplier is 5.
The interactive calculator on this page accepts your own question values and displays the final answer with step-by-step working.
Frequently asked questions
What formula does the Money Multiplier Calculator use?
This calculator uses: Money Multiplier = 1 ÷ LRR (LRR in decimal form). The interactive page shows the working step by step.
Is the Money Multiplier Calculator free?
Yes. It is free to use and does not require a login.
Can I use the calculator for exam preparation?
Yes. Use it to check numerical working and then practise writing the formula, substitution and final answer yourself.
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