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Pixar Bank has the following balance sheet: Assets Liabilities and Equity Cash 21,000 Demand Deposits 550,000 Short-term Securities 369,000 Interbank Borrowed 151,000 Loans 400,000 Equity
Pixar Bank has the following balance sheet: Assets Liabilities and Equity Cash 21,000 Demand Deposits 550,000 Short-term Securities 369,000 Interbank Borrowed 151,000 Loans 400,000 Equity 89,000 Total 790,000 Total 1790,000 Pixar Bank's largest customer decides to exercise a $10,000 loan commitment. If the bank chooses to meet this loan commitment using purchased liquidity management techniques, which of the following correctly describes the balance in each account after the transaction? Select one: O a. Loans=$410,000 and Funds Borrowed = $161,000 O b. Loans= $400,000 and Funds Borrowed = $161,000 O c. Loans=$410,000 and Equity = $99,000 O d. None of the above O e. Cash = $11,000 and Loans = $410,000
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