National Bank Limited has forecast its several deposits and loans over the next six months which are given below: Months Checkable Deposits (Tk.) Commercial Loans (Tk.) Consumer Loans (Tk.) Savings Deposits (Tk.) July 120,000 650,000 160,000 550,000 August 115,000 600,000 230,000 500,000 September 100,000 700,000 210,000 500,000 October 90,000 750,000 175,000 485,000 November 105,000 710,000 160,000 465,000 December 80,000 710,000 200,000 490,000 Required: Identify which months are likely to result in liquidity deficits and which in liquidity surpluses by using the sources and uses of funds approach and explain your action plan
National Bank Limited has forecast its several deposits and loans over the next six months which are given below: Months Checkable Deposits (Tk.) Commercial Loans (Tk.) Consumer Loans (Tk.) Savings Deposits (Tk.) July 120,000 650,000 160,000 550,000 August 115,000 600,000 230,000 500,000 September 100,000 700,000 210,000 500,000 October 90,000 750,000 175,000 485,000 November 105,000 710,000 160,000 465,000 December 80,000 710,000 200,000 490,000 Required: Identify which months are likely to result in liquidity deficits and which in liquidity surpluses by using the sources and uses of funds approach and explain your action plan
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
National Bank Limited has
|
Months |
Checkable Deposits (Tk.) |
Commercial Loans (Tk.) |
Consumer Loans (Tk.) |
Savings Deposits (Tk.) |
|
July |
120,000 |
650,000 |
160,000 |
550,000 |
|
August |
115,000 |
600,000 |
230,000 |
500,000 |
|
September |
100,000 |
700,000 |
210,000 |
500,000 |
|
October |
90,000 |
750,000 |
175,000 |
485,000 |
|
November |
105,000 |
710,000 |
160,000 |
465,000 |
|
December |
80,000 |
710,000 |
200,000 |
490,000 |
Required: Identify which months are likely to result in liquidity deficits and which in liquidity surpluses by using the sources and uses of funds approach and explain your action plan.
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