2.

Consider a bank with the following balance sheet: Assume that required reserves are 8%. In order to avoid insolvency, regulators decide to provide the bank with $27 million in bank capital. Assume that bad news about mortgages is featured in the local newspaper, causing a bank run. As a result, $25 million in deposits is withdrawn. Show the effects of the capital injection and bank run on the balance sheet. (Round your responses to the nearest whole number.) Oldhat Financial starts its first day of operations with $10 million in capital. A total of $120 million in checkable deposits are received. The bank makes a $30 million commercial loan and another $50 million in mortgages, with the following terms: 200 standard 30 -year, fixed-rate mortgages with a nominal annual rate of 5.25%, each for $250,000. Assume that required reserves are 8%. Complete the bank's balance sheet provided below. (Round your responses to the nearest whole number.)