TABLE C
ASSETS
LIABILITIES
REQUIRED RESERVES $144,000
DEMAND DEPOSITS $3,600,000
EXCESS RESERVES ?
TOTAL RESERVES $150,000...
TABLE C
ASSETS
LIABILITIES
REQUIRED RESERVES $144,000
DEMAND DEPOSITS $3,600,000
EXCESS RESERVES ?
TOTAL RESERVES $150,000
GOVT. SECURITIES $550,000
LOANS $2,900,000
TOTAL ASSETS $3,600,000
TOTAL LIABILITIES $3,600,000
Please complete Table C.
45. If the Fed purchases $50,000 in securities from the bank,
the bank could lend out?
A) $50,000
B) $56,000
C) nothing it will have a reserve deficiency
D) $125,000
46. If the Fed sells $50,000 in securities to this
bank, the money supply will:
A) expand by $1,000,000
B)...
TABLE C
ASSETS
LIABILITIES
REQUIRED RESERVES $144,000
DEMAND DEPOSITS $3,600,000
EXCESS RESERVES ?
TOTAL RESERVES $150,000...
TABLE C
ASSETS
LIABILITIES
REQUIRED RESERVES $144,000
DEMAND DEPOSITS $3,600,000
EXCESS RESERVES ?
TOTAL RESERVES $150,000
GOVT. SECURITIES $550,000
LOANS $2,900,000
TOTAL ASSETS $3,600,000
TOTAL LIABILITIES $3,600,000
Please complete Table C.
47. If the Fed increased the reserve requirement to 9%, this
bank would
A) have excess reserves of $10,000
B) have zero excess reserves
C) have a deficiency of $180,000
D) have a deficiency of $174,000
TABLE B
ASSETS
LIABILITIES
Reserves Required $ 120,000
Demand Deposits $2,000,000
Excess ?
Total Reserves $...
TABLE B
ASSETS
LIABILITIES
Reserves Required $ 120,000
Demand Deposits $2,000,000
Excess ?
Total Reserves $ 225,000
Loans and Securities $1,775,000
Total Assets $2,000,000
Total Liabilities $2,000,000
Please complete Table B.
38. In Table B, suppose an individual deposits $50,000 into a
demand deposit account. The bank will have
A) excess reserves $152,000
B) a decrease in liabilities of $50,000
C) excess reserves of $47,000
D) excess reserves of $50,000
The assets and liabilities of Finacle Bank as on December 31,
2015, are as follows:$20,000 of...
The assets and liabilities of Finacle Bank as on December 31,
2015, are as follows:$20,000 of short-term securities issued by
governments and private borrowers (about to mature), $12,000 of
borrowings from the money market, $15,000 of short-term savings
accounts, $12,000 of variable-rate loans and securities, $18,000 of
long-term loans made at a fixed interest rate, $25,000 of long-term
savings and retirement accounts, $22,000 of deposits in the Central
Bank (held as legal reserves), $550,000 of equity capital provided
by the...