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The balance sheet for ACME Bank is shown below. Suppose the bank decides to invest 35 percent of its excess reserves in short-term securities in
The balance sheet for ACME Bank is shown below. Suppose the bank decides to invest 35 percent of its excess reserves in short-term securities in order to earn interest. The bank issues a cashier's check to a securities dealer to purchase the securities. The securities dealer deposits the check into an account at a different bank. What will ACME Bank's balance sheet look like after the check has been processed? Fill in the values in the table below. Assume a required reserve ratio of 12 percent. Instructions: Enter your answers as a whole number
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