It is the holiday season, and you withdraw $2,000 from your account at First National Bank to purchase gifts. Complete the following table to show how the bank's balance sheet changes, assuming a required reserve ratio of 20%. First National Bank Assets (Dollars) Reserves Addendum: Changes in Reserves Actual reserves: Liabilities (Dollars) Checking Deposits Required reserves Excess reserves
It is the holiday season, and you withdraw $2,000 from your account at First National Bank to purchase gifts. Complete the following table to show how the bank's balance sheet changes, assuming a required reserve ratio of 20%. First National Bank Assets (Dollars) Reserves Addendum: Changes in Reserves Actual reserves: Liabilities (Dollars) Checking Deposits Required reserves Excess reserves
Chapter14: Banking And The Money Supply
Section: Chapter Questions
Problem 2.3P
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![It is the holiday season, and you withdraw $2,000 from your account at First National Bank to purchase gifts.
Complete the following table to show how the bank's balance sheet changes, assuming a required reserve ratio of 20%.
First National Bank
Assets
(Dollars)
Reserves
Addendum: Changes in Reserves
Actual reserves:
Liabilities
(Dollars)
Checking Deposits
Required reserves
Excess reserves](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe4c08af9-5d4b-4492-bc1d-f80f84af0110%2F3386eeb3-75be-4b9c-98e3-53cfbbe85987%2Fu27lnw9_processed.png&w=3840&q=75)
Transcribed Image Text:It is the holiday season, and you withdraw $2,000 from your account at First National Bank to purchase gifts.
Complete the following table to show how the bank's balance sheet changes, assuming a required reserve ratio of 20%.
First National Bank
Assets
(Dollars)
Reserves
Addendum: Changes in Reserves
Actual reserves:
Liabilities
(Dollars)
Checking Deposits
Required reserves
Excess reserves
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