Map dun Sapling Learning mecmilan learning Table 1 shows the financial position
ID: 1116929 • Letter: M
Question
Map dun Sapling Learning mecmilan learning Table 1 shows the financial position of Bank Uno once $2417.00 has been deposited Assume that the required reserve ratio is 7.00%, that banks do not keep excess reserves, and that all the money loaned out from Bank Uno is deposited into Bank Duo (whose loans go to other banks not shown here) Table 1 . Bank Uno's Initial T-Account Liabilities Reserves: $2417.00 Deposits: $2417.00 Once the lending and depositing process is complete what will the accounts look like in Tables 2 and 3? Specify all answers to two decimal places Table 2. Bank Uno's T-Account After Loans Assets Reserves: ? Loans Liabilities 1. What are Bank Uno's deposits in Table 2? Deposits: ? Number Table 3. Bank Duo's T-Account After Deposits and Loans Assets Reserves: ? Loans Liabilities 2. What are Bank Uno's reserves in Table 2? Deposits:? Number 3. What are Bank Uno's loans in Table 2? 4. What are Bank Duo's loans in Table 3? Number Number Previous Give Up & View Solution 0 Check Answer Next Exit HintExplanation / Answer
table -2
table -3
1) $2417.00
2) $169.19
because reserve ratio is 7% .
reserves = deposits * rr => 2417 * 7/100 = 169.19
3) $2247.81
Bank Uno's loans = deposits - required reserves
= 2417 - 169.19 = 2247.81
4) Bank duo's loans = 2090.46
loans = deposits - ( deposits *7/100)
loans = 2247.81 - ( 2247.81*7/100)
loans = 2090.46
assets liabilities reserves = 169.19 deposits = 22417 loans = 2247.81