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Given the information in Exhibit 11.2, calculate the bank's dity sources to liquidity needs. Is there a possibility that th dity problem at some time in the coming months? Exhibit I Sources and Uses of Funds Statement Estimated

Given the information in Exhibit 11.2, calculate the bank's dity sources to liquidity needs. Is there a possibility that th dity problem at some time in the coming months? Exhibit I Sources and Uses of Funds Statement Estimated

FINANCIAL ACCOUNTING
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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B (i) From the Sources and Uses of Funds Statement in exhibit 1, calculate the estimated changes in loans and deposits from month-to-month, as well as estimated liquidity needs. (ii) Given the information in Exhibit 11.2, calculate the bank's ratio of estimated liquidity sources to liquidity needs. Is there a possibility that the bank will have a liquidity problem at some time in the coming months? Exhibit 1 Sources and Uses of Funds Statement Estimated Estimated End of Month Total Loans Total Deposits $180,000 190,000 210,000 240,000 200,000 180,000 170,000 June July August September October $190,000 180,000 190,000 200,000 210,000 200,000 190,000 November December Exhibit 2 Estimated Sources of Liquidity Estimated Estimated End of Month Asset Liquidity Sources of Liabilities $ 5,000 10,000 5,000 3,000 5,000 10,000 10,000 June July August September October $3,000 4,000 4,000 3,000 2,000 3,000 4,000 November December
Transcribed Image Text:B (i) From the Sources and Uses of Funds Statement in exhibit 1, calculate the estimated changes in loans and deposits from month-to-month, as well as estimated liquidity needs. (ii) Given the information in Exhibit 11.2, calculate the bank's ratio of estimated liquidity sources to liquidity needs. Is there a possibility that the bank will have a liquidity problem at some time in the coming months? Exhibit 1 Sources and Uses of Funds Statement Estimated Estimated End of Month Total Loans Total Deposits $180,000 190,000 210,000 240,000 200,000 180,000 170,000 June July August September October $190,000 180,000 190,000 200,000 210,000 200,000 190,000 November December Exhibit 2 Estimated Sources of Liquidity Estimated Estimated End of Month Asset Liquidity Sources of Liabilities $ 5,000 10,000 5,000 3,000 5,000 10,000 10,000 June July August September October $3,000 4,000 4,000 3,000 2,000 3,000 4,000 November December
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