Reserves \$ Deposits $ Loans \$ Debt $ Securities \$ Capital s Total Assets \$ Total Liabilities \$ Brenda Olivia Adams starts her own bank, called BOA. As owner, Brenda puts in $1500 of her own money. BOA then borrows $3500 in a long-term loan from Brenda's roommate, accepts $7000 in demand deposits from her neighbors, buys $1500 of corporate bonds, lends $5500 to local businesses to finance new investments, and keeps the remainder of the bank's assets as reserves at the Fed. b. Now assume an economic downturn causes 15 percent of the local businesses to declare bankruptcy and default on their loans. Calculate the new values for loans, capital, total assets, and total liabilities as a result of the bankrupteies. Total assets $ Total liabilities \$ The percentage decline in value of assets is The percentage decline in value of capital is Brenda Olivia Adams starts her own bank, called BOA. As owner, Brenda puts in $1500 of her own money. BOA then borrows $3500 in a long-term loan from Brenda's roommate, accepts $7000 in demand deposits from her neighbors, buys $1500 of corporate bonds, lends $5500 to local businesses to finance new investments, and keeps the remainder of the bank's assets as reserves at the Fed. a. Calculate the value of each line item for BOA's balance sheet. Reserves \$ Deposits \$ Reserves S Loans $ Securities $ Total Assets $ Calculate BOA's leverage ratio. Deposits $ Debt S Capital \$ Total Liabilities \$ leverage ratio