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(1) Table 1 Balance Sheet Assets Liabilities Reserves $ 3.825 Checking Accounts $12,500 Loans $13.175 Savings Accounts $ 4,500 Total Assets $17.000 Total Liabilities $17,000

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Table 1 Balance Sheet Assets Liabilities Reserves $ 3.825 Checking Accounts $12,500 Loans $13.175 Savings Accounts $ 4,500 Total Assets $17.000 Total Liabilities $17,000 Assume that this is the balance sheet of the only bank in this economy and that the money supply is entirely kept by the bank in either a checking or a savings account.Table 14 shows the balance sheet of the Tenth National Bank Assets Liabilities Reserves $51? Deposits $4,700 Loans $4,133 Total: $4,700 Total: $4,700

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