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a1EX Larsj i * * C] l D |.il@ Gl@ajd:1-Ral D I IrID:oIG! ogle.com/document/d/Inx4HvjGdUouv3.U0okiYbGTHoPk8v2ny3gMNhpGtoi/edit Format Tools Add-ons Help All changes saved in Drive Normal text

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a1EX Larsj i * * C] l D |.il@ Gl@ajd:1-Ral D I "IrID:oIG! ogle.com/document/d/Inx4HvjGdUouv3.U0okiYbGTHoPk8v2ny3gMNhpGtoi/edit Format Tools Add-ons Help All changes saved in Drive Normal text Times New 12 B I U A Alcoa.. 1. ABE Banc has the following asset categories: Cash $1 million $4 million Loans Other assets Total assets $2 million a. What would be the bank's total assets if loans were twice the size of the amount of securities? b. If total assets were $12 million, what would be the amount of the loans? c. If total assets were $11 million, and $1 million of securities were sold with the proceeds placed in the cash account, what would be the amount of the loans? 2. Following are selected balance sheet accounts for Third State Bank: vault cash S2 million, U.S. government securities S5 million, demand deposits $13 million, nontransactional accounts = S20 million, cash items in process of collection-$4 million, loans to individuals-S7 million, loans secured by real estate $9 million, federal funds purchased $4 million, and bank premises - $11 million. a. From these accounts, select only the asset accounts and calculate the bank's total assets. b. Calculate the total liabilities for Third State Bank c. Based on the totals for assets and liabilities, determine the amount in the stockholders' equity account. account 3. Rearrange the following accounts to construct a bank balance sheet for Second National Bank. What are the total amounts that make the bank's balance sheet balance? Demand deposits: $20 million Cash assets: $5 million Bank fixed assets: Loans secured by real estate: S30 milliorn Commercial and industrial loans: $18 million Stockholders' equity: $6 million $7 million $14 million Time and savings deposits: $40 million Federal funds purchased: S6 million Other long-term liabilities: $2 million

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