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te Initial Balance Sheets ut of Bank of Canada ($m) Chartered Banks Consolidated B: Assets Liabilities Assets 1 Securities 10 Cash Reserves 60 Bank Deposits
te Initial Balance Sheets ut of Bank of Canada ($m) Chartered Banks Consolidated B: Assets Liabilities Assets 1 Securities 10 Cash Reserves 60 Bank Deposits 35 | Government Deposits Foreign Reserves 30 Securities 10 Deposits 130 Government Depo 80 Borrowings Notes 20 Loans The Bank of Canada redeposits $5m of Government of Canada money. Assume r=5%. Assuming all other factors are held constant, what are the initial changes to the balance sheets before the money multiplier process as a result of the redeposit
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