1.Suppose a local bank has the following balance sheet (t-accounts)

Assets		Liabilities and Owner's Equity
Reserves	$210	Deposits	$800
Loans	650	Debt	140
Securities	100	Capital (owner's equity)	100

What is the leverage ratio for this bank? (Hint: enter your answer in 2 decimal places)

2. Suppose a nation's banking system has the following account

Saving Account	$1,270
Checking Account	860
Traveler's Check	20
Cash	230
Credit Card	1,140
Money Market Mutual Funds	990

What's the value of M2 in this banking system?

Your Answer:

3.

If a bank has $24,500 in deposit, 11% required reserve ratio. What's value of the money multiplier in this case? (Hint: enter your answer in 2 decimal places)

Your Answer:

4.

Suppose a local bank currently has $190 deposit, $38 total reserve, 10% required reserve ratio.

How much is this bank's excess reserve? (Hint: enter your answer in 2 decimal places)

5.

Suppose a local bank currently has $155 deposit, $30 total reserve, 8% required reserve ratio.

How much is this bank's required reserve? (Hint: enter your answer in 2 decimal places)