5)

Bank United has reserves of $220, loans at $880 and checkable deposits of $1100. If the required

reserve ratio is 18%, this bank has excess reserves of ______.

6)

A commercial bank has loans at $350, reserves at $150, checkable deposits at $450, and capital of $50.

If the bank suffers a write down in the value of its loans in the amount of $35, then afterwards, the

banks capital expressed as a fraction of its total assets is _____%.