- Suppose That Testbank Has The Following Simplified Balance Sheet Assets Reserves 4 000 Loans 16 000 Securities 20 00 1 (110.2 KiB) Viewed 10 times
Suppose that TestBank has the following simplified balance sheet: Assets Reserves $4,000 Loans $16,000 Securities $20,00
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Suppose that TestBank has the following simplified balance sheet: Assets Reserves $4,000 Loans $16,000 Securities $20,00
Suppose that TestBank has the following simplified balance sheet: Assets Reserves $4,000 Loans $16,000 Securities $20,000 Assume that the reserve ratio (r) = 0.2. Does TestBank have excess or deficient reserves? Of how much? Deficient reserves of $800. Excess reserves of $2400 Excess reserves of $800 Deficient reserves of $2400 Liabilities Demand deposits Excess reserves of $3200 Time deposits Bank capital $16,000 $14,000 ????????