Illustrates new balance sheet

Yukon Bank has the given simplified balance sheet. The reserve ratio: 6.25 %. How will the bank's balance sheet show after cheques drawn for the total amount of the new loans have been empty against this bank? Illustrates this new balance sheet in column 2.

1247_simplified balance sheet.png

View Complete Question

Comments & Conversion

Expert

Verified

After cheques are drawn for the total amount of the loan & cleared against this bank, its balance sheet will look as column 2 below.

967_new bal sheet drawn cheque.png

Related Questions in Finance Basics

Q : Describe the P-E valuation method

Describe the P/E valuation method. Under what conditions a stock should be valued by using this method?The P/E ratio denotes how much investors are keen to pay for each dollar of a stock's earnings. A high P/E ratio denotes that investors belie

Q : Determine the level of real output in

Normal 0 false false

Q : What is the efficiency factor Normal 0

Normal 0 false false

Q : Question on budget line On a Lotto

On a Lotto Canada ticket A person won $15 at the local 7-Eleven & decided to spend all the winnings money on bags of peanuts and candy bars. The cost of candy bars= $.75 and the cost of peanuts = $1.50. a. In general, how woul

Q : Effect of change on equilibrium

Normal 0 false false

Q : Explain primary assumption behind

Explain primary assumption behind the experience approach to forecasting?The experience approach to forecasting is depending on the supposition that things will happen a certain way in the future since they happened that way in the past. For exa

Q : What is Cash Flow Statement What is

What is Cash Flow Statement: It is a statement of cash receipts and disbursements for a particular time period.

Q : Problem of time lags in enacting and

Normal 0 false false

Q : Explain State-Mandated Local Program

State-Mandated Local Program: The state compensations to local governments for the cost of activities needed by legislative and executive acts. This reimbursement necessity was established, Statutes of 1972 (SB 90) and further approved by the adoption

Q : Modify-open market operations-switching

Normal 0 false false

Discover Q & A

Leading Solution Library

Avail More Than 1414493 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1925107
Asked

3,689

Active Tutors

1414493

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment