makes a $362 purchase at Canadian Tire using a debit card issued by Royal Bank. Canadian Tire's deposit account is with Scotiabank. How does this transaction affect the assets and liabilities of tiabank and Royal Bank? Why does the transaction not change the total quantity of deposits in the banking system and consequently, the money supply? = $362 transfer out of Jill's Royal Bank deposit account causes Royal Bank's liabilities to bunt. Simultaneously, the transfer into Canadian Tire's deposit account with Scotiabank causes osits and the money supply (Enter your response as a whole number.) by the same by $362, which requires the bank's assets to by $362. Total deposits change by $, so total Scotiabank's liabilities and assets to

makes a $362 purchase at Canadian Tire using a debit card issued by Royal Bank. Canadian Tire's deposit account is with Scotiabank. How does this transaction affect the assets and liabilities of tiabank and Royal Bank? Why does the transaction not change the total quantity of deposits in the banking system and consequently, the money supply? = $362 transfer out of Jill's Royal Bank deposit account causes Royal Bank's liabilities to bunt. Simultaneously, the transfer into Canadian Tire's deposit account with Scotiabank causes osits and the money supply (Enter your response as a whole number.) by the same by $362, which requires the bank's assets to by $362. Total deposits change by $, so total Scotiabank's liabilities and assets to

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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