A financial institution has the following balance:

In 2022 a flood increased liquidity needs of a bank servicing the affected community as depositors withdrew deposits to the value of $20 billion.

Would you recommend this bank rely more on asset liquidity or liability liquidity to meet these additional requirements? Give reasons. Show how you would manage the banks liquidity position.

\begin{tabular}{|l|r|l|r|} \hline \multicolumn{4}{|c|}{ Balance Sheet (in billion) } \\ \hline Assets & & Liabilities \\ \hline Cash & 18 & Deposits & \\ \hline Government securities & 18 & Borrowed Funds & 140 \\ \hline Other Assets & 164 & Equity & 20 \\ \hline Total & 200 & Total & 40 \\ \hline \end{tabular} \begin{tabular}{|l|l|} \hline \multicolumn{2}{|l|}{ Withdrawal of Deposits } \\ \hline Assets & Liabilities \\ \hline Cash & Deposits \\ \hline Government securities & Borrowed Funds \\ \hline Other Assets & Equity \\ \hline Total & Total \\ \hline \end{tabular}