Bank of China has the following items on its balance sheet.Require reserves $150 billionExcess reserves $50 billionU.S. Treasury bills $500 billionClaims on BNP Paribas (A bank based in France) $10 billionClaims on Unicredit (A bank based in Italy) $15 billionConnecticut state bonds $80 billionMortgages $700 billionCar loans $300 billionCorporate loans $800 billionCheckable deposits $2,000 billionSavings deposits $300 billionAssuming that all the asset and liabilities of Bank of China have been listed above, what is the total equity (in billions of $) of the bank? Round your answer to at least 2 decimal places.

In this question, we will find out the total equity (in billions of $) of the bank of China.

Answered: Bank of China has the following items…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Bank of China has the following items on its balance sheet.

Require reserves $150 billion
Excess reserves $50 billion
U.S. Treasury bills $500 billion
Claims on BNP Paribas (A bank based in France) $10 billion
Claims on Unicredit (A bank based in Italy) $15 billion
Connecticut state bonds $80 billion
Mortgages $700 billion
Car loans $300 billion
Corporate loans $800 billion
Checkable deposits $2,000 billion
Savings deposits $300 billion

Assuming that all the asset and liabilities of Bank of China have been listed above, what is the total equity (in billions of $) of the bank? Round your answer to at least 2 decimal places.

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

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