The bank you own has the following balance sheet:       ASSETS |     LIABILITIES    Reserves 75M | Deposits 500M Loans 525M    | Bank Capital 100M If the bank suffers a deposit outflow of $50M with a required reserve ratio on deposits of 10%, show the resulting effects using T-accounts.   As a result, what actions must you take to keep your bank from failing (show T-accounts)?

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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The bank you own has the following balance sheet:

      ASSETS |     LIABILITIES   

Reserves 75M | Deposits 500M

Loans 525M    | Bank Capital 100M

If the bank suffers a deposit outflow of $50M with a required reserve ratio on deposits of 10%, show the resulting effects using T-accounts.  

As a result, what actions must you take to keep your bank from failing (show T-accounts)?

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