Homework Answers
Question 36
Calculate the amount in the reserve account at the end of business on Friday -
Amount = Opening balance + Checks deposited on Thursday + Checks deposited on Friday - Checks cleared on Thursday - Checks cleared on Friday + Currency send to Fed
Amount = $4,544,500 + $345,660 + $467,845 - $266,890 - $351,115 + $100,000 = $4,840,000
The Westmoreland Bank will have $4,840,000 in its reserve account at the end of business on Friday.
Hence, the correct answer is the option (D).
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