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Category > Economics Posted 03 May 2017 My Price 4.00

level of excess reserves

. Determine the level of excess reserves for this bank (if any). If it has excess reserves, determine the maximum deposit

   outflow it can sustain without having to acquire additional reserves. If the bank is short on reserves, suggest an      

   action that would make it compliant. The action should be one of the lowest cost options available.

 

rd = 8%                                                               Treasury Bills = $5,600,000            Bank Deposits with Fed = $4,100,000

Demand Deposits = $22,500,000                    Vault Cash = $1,800,000                  Savings Deposits = $94,500,000

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(15)
Status NEW Posted 03 May 2017 08:05 AM My Price 4.00

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