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I hope you do it by typing. BSW Bank Currently has $500 million in transaction deposits on its balance sheet. The Federal Reserve has currently

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BSW Bank Currently has $500 million in transaction deposits on its balance sheet. The Federal Reserve has currently set the reserve requirement at 6 percent of transaction deposits a. If the Federal Reserve decreases the reserve requirement to 4 percent, show the balance sheet of BSW and the Federal Reserve System just before and after the full effect of the reserve requirement change. Assume BSW withdraws all excess reserves and gives out loans and that borrowers eventually return all of these funds to BSW in the form of transaction deposits b. Redo part (a) using a 10 percent reserve requirement. Complete this question by entering your answers in the tabs below. Required A Required If the Federal Reserve decreases the reserve requirement to 4 percent, show the balance sheet of BSW and the Federal Reserve System just before and after the full effect of the reserve requirement change. Assume BSW withdraws all excess reserves and gives out loans and that borrowers eventually return all of these funds to BSW in the form of transaction deposits. (Do not round intermediate calculations. Enter your answers in millions rounded to the nearest dollar amount.) Show less Panel A: Initial Balance Sheets Federal Reserve Bank Assets Liabilities Securities BSW Bank Assets Liabilities Reserve deposits at Fed Panel B alance Sheet All Changes Federal Reserve Bank borrowers eventually return all of these funds to BSW in the form of transaction deposits. (Do not round intermediate calculations. Enter your answers in millions rounded to the nearest dollar amount.) Show less Panel A: Initial Balance Sheets Federal Reserve Bank Assets Llabilities - is 30 million million BSW Bank Assets Liabilities $ million Loans Reserve deposits at Fed 30 million 440 million Panel B: Balance Sheet after All Changes Federal Reserve Bank Assets Liabilities million million BSW Bank Assets Liabilities Required Required A Required B Redo part (a) using a 10 percent reserve requirement. (Do not round intermediate calculations. Enter your answers in millions rounded to nearest dollar amount.) Panel A: Initial Balance Sheets Federal Reserve Bank Assets million BSW Bank Assets Liabilities million million million Panel B: Balance Sheet after All Changes Federal Reserve Bank Assets Llabilities million BSW Bank Assets Llabilities milion million million

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