The table shows a bank's balance sheet. The bank has no excess reserves and there is no currency drain. Calculate the bank's desired reserve ratio. >>> Answer to 1 decimal place. The bank's desired reserve ratio is percent of deposits.
The table shows a bank's balance sheet. The bank has no excess reserves and there is no currency drain. Calculate the bank's desired reserve ratio. >>> Answer to 1 decimal place. The bank's desired reserve ratio is percent of deposits.
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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![The table shows a bank's balance sheet. The bank has no excess reserves and there is no
currency drain.
Calculate the bank's desired reserve ratio.
>>> Answer to 1 decimal place.
The bank's desired reserve ratio is
percent of deposits.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0fc5270a-c6d7-4560-b781-434dac09a30c%2F9bc911d7-7c51-4db6-bba5-de4853d6679e%2Fg79nni_processed.png&w=3840&q=75)
Transcribed Image Text:The table shows a bank's balance sheet. The bank has no excess reserves and there is no
currency drain.
Calculate the bank's desired reserve ratio.
>>> Answer to 1 decimal place.
The bank's desired reserve ratio is
percent of deposits.
![Assets
Reserves at the
Fed
Cash in vault
Securities
Loans
Liabilities
(millions of dollars)
20
15
60
115
Checkable deposits
Savings deposits
115
95](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0fc5270a-c6d7-4560-b781-434dac09a30c%2F9bc911d7-7c51-4db6-bba5-de4853d6679e%2Ff05ce2h_processed.png&w=3840&q=75)
Transcribed Image Text:Assets
Reserves at the
Fed
Cash in vault
Securities
Loans
Liabilities
(millions of dollars)
20
15
60
115
Checkable deposits
Savings deposits
115
95
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