Business, 11.10.2020 23:01 esid906

BSW Bank currently has $650 million in transaction deposits on its balance sheet. The Federal Reserve has currently set the reserve requirement at 6 percent of transaction deposits. a. If the Federal Reserve decreases the reserve requirement to 4 percent, show the balance sheet of BSW and the Federal Reserve System just before and after the full effect of the reserve requirement change. Assume BSW withdraws all excess reserves and gives out loans, and that borrowers eventually return all of these funds to BSW in the form of transaction deposits. (Do not round intermediate calculations. Enter your answers in millions rounded to the nearest dollar amount.)
Panel A: Initial balance sheets
Federal Reserve Bank
AssetsLiabilities
Transaction deposits at FedReserve accountsLoans$ million LoansReserve deposits at FedTransaction depositsReserve accountsSecurities$ million
BSW Bank
AssetsLiabilities
SecuritiesReserve accountsTransaction depositsLoansReserve deposits at Fed$ million Transaction depositsLoansReserve deposits at Fed$ million
SecuritiesLoansReserve accountsReserve deposits at FedTransaction depositsmillion
Panel B: Balance sheet after all changes
Federal Reserve Bank
AssetsLiabilities
LoansReserve depositsReserve deposits at Fed$ million Transaction depositsLoansReserve deposits at Fed$ million
BSW Bank
AssetsLiabilities
SecuritiesReserve deposits at FedTransaction depositsLoansReserve accounts$ million LoansTransaction depositsReserve deposits at FedSecuritiesReserve accounts$ million
LoansReserve depositsReserve deposits at Fedmillion b. Redo part (a) using a 10 percent reserve requirement. (Do not round intermediate calculations. Enter your answers in millions rounded to the nearest dollar amount.)
Panel A: Initial balance sheets
Federal Reserve Bank
AssetsLiabilities
Transaction depositsLoansReserve deposits at Fed$ million Reserve deposits at FedReserve deposits$ million
BSW Bank
AssetsLiabilities
Reserve deposits at FedSecuritiesTransaction depositsReserve accountsLoans$ million depositsReserve deposits at FedReserve accounts$ million
Transaction deposits at FedLoansReserve accountsmillion Panel B: Balance sheet after all changes
Federal Reserve Bank
AssetsLiabilities
Reserve accountsTransaction depositsLoansReserve deposits at FedSecurities$ million Transaction accountsLoansReserve deposits at Fed$ million
BSW Bank
AssetsLiabilities
Reserve deposits at FedReserve accountsTransaction depositsLoansSecurities$ million LoansReserve deposits at FedTransaction accounts$ million
Transaction deposits at FedReserve accountsmillion

Answers: 1

Show answers

Another question on Business

Business, 21.06.2019 16:00

Abigail spent $100 on a new edition of the personal finance textbook rather than $75 for a used copy. the additional cost for the new copy is called the

Answers: 1

Answer

Business, 22.06.2019 03:00

50 points mark brainliest 1) the information in the interactive presentation suggests that people a) utilize the perception of others rather that out own perception b) learn more about the positive aspects of perception c) should monitor how perceptual barriers influence our relationship d) spend more times on our personal relationships rather than our professional relationships 2) you are about to take the dog out for a walk but pause to watch the news because you hear the name of your town being mentioned hearing your town being mentioned on the news is an example of a) stimulation b) interaction c) organization d) interpretation- evaluation 3) tamara thinks ivan is upset with her because hes been unusually quiet today to better interpret the situation and communicate appropriately tamara should a) ask ivan why hes quiet and explain that hes being inconsiderate b) leave ivan alone because hes obviously going through something c) ask her guidance counselor for tips on providing therapy to a friend d) examine her own perception and then check in with ivan about his behavior 4) of the following abilities which is the most important to the perceptual checking process a) critical thinking ability b) creative ability c) memorizing ability d) organizational ability

Answers: 2

Answer

Business, 22.06.2019 09:40

Catherine de bourgh has one child, anne, who is 18 years old at the end of the year. anne lived at home for seven months during the year before leaving home to attend state university for the rest of the year. during the year, anne earned $6,000 while working part time. catherine provided 80 percent of anne's support and anne provided the rest. which of the following statements regarding whether anne is catherine's qualifying child for the current year is correct? a.anne is a qualifying child of catherine.b.anne is not a qualifying child of catherine because she fails the gross income test.c.anne is not a qualifying child of catherine because she fails the residence test.d.anne is not a qualifying child of catherine because she fails the support test.

Answers: 2

Answer

Business, 22.06.2019 15:30

For a firm that uses the weighted average method of process costing, which of the following must be true? (a) physical units can be greater than or less than equivalent units. (b) physical units must be equal to equivalent units. (c) equivalent units must be greater than or equal to physical units. (d) physical units must be greater than or equal to equivalent units.

Answers: 1

Answer

You know the right answer?

BSW Bank currently has $650 million in transaction deposits on its balance sheet. The Federal Reserv...

Questions