Suppose that Third Fidelity Bank currently has $50,000 in checkable deposits and $32,500 in outstanding loans. The Federal Reserve has set the reserve requirement at 10%. Using these values, fill in the empty cells for reserves, required reserves, and excess reserves in the following table. Third Fidelity Reserves Required Reserves Excess Reserves (Dollars) (Dollars) (Dollars)
Suppose that Third Fidelity Bank currently has $50,000 in checkable deposits and $32,500 in outstanding loans. The Federal Reserve has set the reserve requirement at 10%. Using these values, fill in the empty cells for reserves, required reserves, and excess reserves in the following table. Third Fidelity Reserves Required Reserves Excess Reserves (Dollars) (Dollars) (Dollars)
Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter12: Money, Banking And The Financial System
Section: Chapter Questions
Problem 4WNG
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Suppose that Third Fidelity Bank currently has $50,000 in checkable deposits and $32,500 in outstanding loans. The Federal Reserve has set the reserve requirement at 10%. Using these values, fill in the empty cells for reserves, required reserves , and excess reserves in the following table.
Third Fidelity
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---|---|---|
Reserves
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Required Reserves
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Excess Reserves
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(Dollars)
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(Dollars)
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(Dollars)
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|
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