[Related to Solved Problem 10.1] The following entries (in millions of dollars) are from the balance sheet of Rivendell National Bank (RNB): Determine whether each item is listed on the bank's balance sheet as an asset or a liability. Balance Sheet Item U.S. Treasury bills Amount $22 Asset or Liability? Asset Demand deposits 40 Liability Mortgage-backed securities 28 Asset Loans from other banks 6 Liability C&I loans 50 Asset Discount loans 5 Liability NOW accounts 40 Liability Savings accounts 10 Liability Reserve deposits with Federal Reserve 8 Asset Cash items in the process of collection 5 Asset Municipal bonds 5 Asset Bank building 4 Asset Using the entries in the table, calculate the bank's total assets, total liabilities, and bank capital. (Enter your answers as a whole number.) Total assets = $ 122. Total liabilities = $ 101. Bank capital = $ 21. RNB's capital is what percentage of its assets? RNB's capital is % of its assets. (Round your answer to two decimal places.)
[Related to Solved Problem 10.1] The following entries (in millions of dollars) are from the balance sheet of Rivendell National Bank (RNB): Determine whether each item is listed on the bank's balance sheet as an asset or a liability. Balance Sheet Item U.S. Treasury bills Amount $22 Asset or Liability? Asset Demand deposits 40 Liability Mortgage-backed securities 28 Asset Loans from other banks 6 Liability C&I loans 50 Asset Discount loans 5 Liability NOW accounts 40 Liability Savings accounts 10 Liability Reserve deposits with Federal Reserve 8 Asset Cash items in the process of collection 5 Asset Municipal bonds 5 Asset Bank building 4 Asset Using the entries in the table, calculate the bank's total assets, total liabilities, and bank capital. (Enter your answers as a whole number.) Total assets = $ 122. Total liabilities = $ 101. Bank capital = $ 21. RNB's capital is what percentage of its assets? RNB's capital is % of its assets. (Round your answer to two decimal places.)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![[Related to Solved Problem 10.1] The following entries (in millions of dollars) are from the balance sheet of Rivendell National Bank (RNB):
Determine whether each item is listed on the bank's balance sheet as an asset or a liability.
Balance Sheet Item
U.S. Treasury bills
Amount
$22
Asset or Liability?
Asset
Demand deposits
40
Liability
Mortgage-backed securities
28
Asset
Loans from other banks
6
Liability
C&I loans
50
Asset
Discount loans
5
Liability
NOW accounts
40
Liability
Savings accounts
10
Liability
Reserve deposits with Federal Reserve
8
Asset
Cash items in the process of collection
5
Asset
Municipal bonds
5
Asset
Bank building
4
Asset
Using the entries in the table, calculate the bank's total assets, total liabilities, and bank capital. (Enter your answers as a whole number.)
Total assets = $ 122.
Total liabilities = $ 101.
Bank capital = $ 21.
RNB's capital is what percentage of its assets?
RNB's capital is % of its assets. (Round your answer to two decimal places.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fac4d5b2e-3e88-4d37-914e-4c8283db0af1%2Fb6d6c0e6-a36c-4910-b263-2003fafb53d5%2Fqs11mq_processed.jpeg&w=3840&q=75)
Transcribed Image Text:[Related to Solved Problem 10.1] The following entries (in millions of dollars) are from the balance sheet of Rivendell National Bank (RNB):
Determine whether each item is listed on the bank's balance sheet as an asset or a liability.
Balance Sheet Item
U.S. Treasury bills
Amount
$22
Asset or Liability?
Asset
Demand deposits
40
Liability
Mortgage-backed securities
28
Asset
Loans from other banks
6
Liability
C&I loans
50
Asset
Discount loans
5
Liability
NOW accounts
40
Liability
Savings accounts
10
Liability
Reserve deposits with Federal Reserve
8
Asset
Cash items in the process of collection
5
Asset
Municipal bonds
5
Asset
Bank building
4
Asset
Using the entries in the table, calculate the bank's total assets, total liabilities, and bank capital. (Enter your answers as a whole number.)
Total assets = $ 122.
Total liabilities = $ 101.
Bank capital = $ 21.
RNB's capital is what percentage of its assets?
RNB's capital is % of its assets. (Round your answer to two decimal places.)
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