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Scenario: Alpha Bank has $100,000 in total assets and $45,000 in total liabilities. Beta Bank has $250,000 in total assets and $220,000 in total liabilities.
Scenario: Alpha Bank has $100,000 in total assets and $45,000 in total liabilities. Beta Bank has $250,000 in total assets and $220,000 in total liabilities. If Beta Bank is faced with a bank run, what must it do? A. Invest more of its shortterm assets in longterm assets to protect them B. Not pay out the deposits that are being withdrawn C. Rely on the FDIC to pay out the withdrawn deposits D. Liquidate its longterm, illiquid assets
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