1. QBank has the following items on its balance sheet: £m loans to corporations 85 loans to households 60 QBank's holdings of shares and bonds, etc retail current account deposits (deposits by general public with QBank) commercial current account deposits (deposits by companies with QBank) tangible assets and property 100 225 90 130 cash in vaults 35 reserve deposits with Bank of England (deposits by QBank) borrowing by QBank in money market 70 100 a) Construct a balance sheet for QBank with each of the above items included, calculate QBank's net worth and show where it appears on the balance sheet
1. QBank has the following items on its balance sheet: £m loans to corporations 85 loans to households 60 QBank's holdings of shares and bonds, etc retail current account deposits (deposits by general public with QBank) commercial current account deposits (deposits by companies with QBank) tangible assets and property 100 225 90 130 cash in vaults 35 reserve deposits with Bank of England (deposits by QBank) borrowing by QBank in money market 70 100 a) Construct a balance sheet for QBank with each of the above items included, calculate QBank's net worth and show where it appears on the balance sheet
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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