Which type of lending institute is either federal or state chartered?   Credit unions   Mutual savings banks   Savings and loans   Insurance companies

Q: Your friend Tim wants to open a checking account, but he's not sure how to do it. List the steps.

A: A checking account is a sort of bank account that enables you to deposit and receive money for…

Q: What is the importance of financila analysis and planning in a business? Include examples

A: Financial analysis is the process of analysing the matters including all kinds of transactions done…

Q: Identify the largest 5 banks in the United stated.

A: United States is one the most developed countries of the world. There are many large banks in the…

Q: Explain in detail the types of banks?

A: Any economy's foundation is its banking sector. It is made up of several financial organizations…

Q: A cash item in the process of collection is a U.S. Treasury bill that has matured, but for which the…

A: A cash item in the process of collection refers to funds that a bank is in the process of collecting…

Q: Which of the following is a personal financial asset? a. A payday loan b. A mortgage loan c. A…

A: A financial asset is a tradable instrument or other tangible property that represents a legal claim…

Q: write in 3 paragraphs what financial institutions are

A: Financial institutions provides variety of services ranging from deposits, lending and investments…

Q: credit unions differ from savings institutions

A: More number of saving banks come together are called savings institutions. More number of loan…

Q: Which of the following is not an example of a financial resource? a. online training for employees…

A: Financial resources typically refer to assets or funds that can be readily converted into cash or…

Q: How can small businesses get out of debt?

A: Small businesses need to have proper pplanning and management of cost and other factors. If there is…

Q: What are the primary differences between different types of banks (savings, commercial, investment,…

A: Saving bank: The financial institution which accepting savings deposit as their primary purpose is…

Q: What is anti-trust law and what does it do?

A: Anti-trust law: These are the statutes or the competition laws that are meant to protect the…

Q: Do commercial banks have different categories

A: - Commercial Banks(CBs) are the financial institutions that provide basic investment options as…

Q: What is mortgage insurance?

A: Mortgage insurance is the insurance policy which insures a mortgage loan in the case of the default…

Required Reserve and Excess Reserve Analysis

A required reserve is an amount of cash that banks must keep with themselves, which is certain percentage of the deposits made by their customers. Required reserve is a percentage of the bank's deposits that the respective bank must have on each overnight. The percentage rate is set and determined by the nation’s central bank. It is important to have such funds accumulated to meet its uncertain obligations, sudden liabilities and withdrawals. Required reserve is also known as reserve ratio. Reserve ratio is an important tool to control the money supply.