Android Bank makes new consumer loans totalling £100m, crediting the amount to its customers' accounts. Android Bank's net worth decreases by this amount. Select one: O True O False

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter7: Accounting Information Systems
Section: Chapter Questions
Problem 1EB: For each of the following, indicate if the statement reflects an input component, output component,...
icon
Related questions
Question
The table below shows balance sheet data, in £m, for a phone-based bank, Android
Bank:
£m
loans to corporati ons
50
loans to households
600
300
AndroidBank's holdings of shares and bonds, etc
retail current account deposits (deposits by general public with AndroidBank)
commercial current account deposits (deposits by companies with AndroidBank)
tangible assets and property
1500
50
500
cash in vaults
50
reserve deposits with Bank of England (deposits by AndroidBank)
borrowing by AndroidBank in money market
300
25
Transcribed Image Text:The table below shows balance sheet data, in £m, for a phone-based bank, Android Bank: £m loans to corporati ons 50 loans to households 600 300 AndroidBank's holdings of shares and bonds, etc retail current account deposits (deposits by general public with AndroidBank) commercial current account deposits (deposits by companies with AndroidBank) tangible assets and property 1500 50 500 cash in vaults 50 reserve deposits with Bank of England (deposits by AndroidBank) borrowing by AndroidBank in money market 300 25
Android Bank makes new consumer loans totalling £100Om, crediting the amount to its
customers' accounts. Android Bank's net worth decreases by this amount.
Select one:
O True
O False
Transcribed Image Text:Android Bank makes new consumer loans totalling £100Om, crediting the amount to its customers' accounts. Android Bank's net worth decreases by this amount. Select one: O True O False
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Effective Annual Rate Of Return
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College