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need help asap A US bank is subject to two restrictions: a requited reserve ratio of 20% and the limit on the deposit rate of
need help asap
A US bank is subject to two restrictions: a requited reserve ratio of 20% and the limit on the deposit rate of 5% per year. Suppose that a non-US branch of the bank does not have to put aly reserves aside and can promise to pay a 6% depesit rate per year, Consider one-year period. If both US and non-US beanches can lend moncy at 8\% per year, how much more interest expense will the noo-US branch bave to pay to the depositor compared to the US branch on a 5100 deposit? Between 50.27 and 50.47 Between 50.47 and 50.67 Between 50.67 and 50.87 Between $0.87 and $1.07 Between 51.07 and 51.27 Between $1.27 and $1.47 Between 51.47 asd 51.67 Hetween 51.67 and 51.87 A US bank is subject to two restrictions: a requited reserve ratio of 20% and the limit on the deposit rate of 5% per year. Suppose that a non-US branch of the bank does not have to put aly reserves aside and can promise to pay a 6% depesit rate per year, Consider one-year period. If both US and non-US beanches can lend moncy at 8\% per year, how much more interest expense will the noo-US branch bave to pay to the depositor compared to the US branch on a 5100 deposit? Between 50.27 and 50.47 Between 50.47 and 50.67 Between 50.67 and 50.87 Between $0.87 and $1.07 Between 51.07 and 51.27 Between $1.27 and $1.47 Between 51.47 asd 51.67 Hetween 51.67 and 51.87 Step by Step Solution
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