The probability distribution of the net deposit drain of a DI has been estimated to have a

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The probability distribution of the net deposit drain of a DI has been estimated to have a mean of 2 percent and a stan- dard deviation of 1 percent. (LG 21-2)

a. Is this DI increasing or decreasing in size? Explain.

b. If a DI has a net deposit drain, what are the two ways it can offset this drain of funds? How do the two methods differ?

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Financial Markets And Institutions

ISBN: 9780078034664

5th Edition

Authors: Anthony Saunders, Marcia Cornett

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