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The banks in ABC Nation have: Reserves $240 million Loans $3,840 million Deposits $4,200 million Total assets $4,500 million a) Construct the bank's balance sheet.
The banks in ABC Nation have: Reserves $240 million Loans $3,840 million Deposits $4,200 million Total assets $4,500 million a) Construct the bank's balance sheet. If you are missing any assets, call them "other assets"; if you are missing any liabilities, call them "other liabilities." b) Calculate the banks' reserve ratio. c) If banks hold no excess reserves, calculate the deposit multiplier
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