In this assignment you need to calculate the balance sheet for the Great West bank. The balance sheet is a financial statement that tells you about a banks health. It lists the banks sources of funds and how they are used. It also tells you how the bank manages credit and interest rate risk. There are two parts to this assignment: First, show what the balance sheet would look like with the following financial details: Demand deposits - $29 million Advances from the Bank of Canada - $1 million Fixed Deposits - $31 million Securities - $ 26 million Non-mortgage Loans - $35 million Reserves and Cash - $10.5 million Mortgage Loans - $25 million Borrowings - $25 million Second, show what the balance sheet would look like if the desired reserves are 8 percent. Assume that Great Wests started operations with $6 million in capital. It then receives $100 million in chequable deposits. The bank makes a $25 million commercial loan and another $25 million in mortgages. Ignore any loan loss reserves. Instructions To submit your assignment: Click on the heading of this page to open the drop box. Click the Write

Submission button on the Dropbox page then write out your answers. Click the Submit button to save your assignment for marking. OR Click on the heading of this page to open the drop box. Click the Browse My Computer button on the Dropbox page then navigate to the assignment file in the File Upload window. Select the assignment file then click the Open button to upload the file. Add any comments about your assignment in the Comments field. Click the Submit button to save your assignment for marking. Note: Name the file using your first initial, last name, and the number of the assignment. For example, tjones1.doc for Tom Jones assignment 1.