Required reserves = deposits x reserve ratio = 65,000 x 0.1 = 6,500
Maximum loan = excess reserves = actual reserves - required reserves = 16,000 - 6,500 = $9,500
Question 27 (16 points) A commercial bank has actual reserves of $16,000 and checkable-deposit liabilities of...
A commercial bank has actual reserves of $17,000 and checkable-deposit liabilities of $14,000, and the required reserve ratio is 0.15. This bank can loan out $ at the moment Your Answer: Answer
</> Ea Question 6 (16 points) A commercial bank has actual reserves of $53,000 and checkable-deposit liabilities of $100,000, and the required reserve ratio is 0.20. This bank can loan out $ at the moment. Your Answer: Answer Question 7 (16 points) If personal taxes were decreased and resource productivity in short run increased simultaneously, the equilibrium Pick your answer from below and explain your answer choice using aggregate demand and aggregate supply A. Output would necessarily rise. B. Output...
ommercial Bank has $5,000 in excess reserves, $90,000 in checkable deposit and the reserve ratio is 30 percent. The bank must have: A. $35,000 in reserves. B. $32,000 in reserves. C. $10,000 in reserves. D. 15,000 in reserves 23. Suppose a commercial bank has checkable deposits of $100,000 and the legal reserve ratio is A. are $17,000. 10 percent. If this bank has $ 17,000 in reserves, then its excess reserves: B. are $10,000. C. are $7,000. D. are $1,700...
A commercial bank has reserves of $308, loans of $1,092 and checkable deposits of $1,400. At the current required reserve ratio, this bank claims to have exactly zero excess reserves. Then the required reserve ratio must be? 12.2% 22% 28.5% 32%
A commercial bank has reserves of $64, loans of $521 and checkable deposits of $585. The bank experiences a cash outflow of $11. If the required reserve ratio is 7%, what are the bank's excess reserves after the outflow?
Question 1 (1 point)
The amount of reserves that a commercial bank is required to
hold is equal to:
Question 1 options:
the amount of its checkable deposits.
the sum of its checkable deposits and time deposits.
its checkable deposits multiplied by the reserve
requirement.
its checkable deposits divided by its total assets.
Save
Question 2 (1 point)
Answer the question on the basis of the following information
for the Moolah Bank.
Refer to the information and assume that Moolah...
Moving to another question will save this response Question a Question 42 11 points A commercial bank has required reserves of $60 million and the reserve ratio is 20% How much are the commercial bank's checkable-deposit labes?
The Third National Bank has reserves of $20,000 and checkable deposits of $100,000. The reserve ratio is 20 percent. Using balance sheet A, how would this look. How much excess reserves currently exist for the bank? Households deposit $5000 in currency into the bank that is added to reserves. (Show this addition on the balance sheet A. What level of excess reserves does the bank now have? Assuming the excess reserves become loans, what would this look like on the...
Question 68 (1 point) Suppose a banking system has $ 125,000 of checkable deposits and actual reserves of $ 17,000. If the reserve ratio is 9% Excess Reserves in the banking system are equal to: $ (Put only numbers in your answer; do not put a dollar sign in your answer.) Your Answer: Answer Question 69 (1 point) Suppose a banking system has $ 120,000 of checkable deposits and actual reserves of $ 16,000. If the reserve ratio is 6%...
If a bank has $400,000 of checkable deposits, and it holds $80,000 in required reserves, then (A) what would be the required reserve ratio? (B) What is the maximum loan amount could this bank make?