Use the table which reports selected financial instruments to answer the following questions regarding the monetary aggregates. (#5-#8). [12 points] Currency $500, Large time deposits $3,500, Demand deposits, $1,000 Small time deposits $1,600, Treasury notes $2,200, Savings and money market deposit accounts $1,100, Institutional money market mutual funds $500, Commercial paper $800, Other checkable deposits $800, Municipal bonds $2,500,

5. Compute M1 and M2.

6. The Federal Reserve Bank of St. Louis reports an alternate measure of the money supply called MZM. This monetary aggregate includes only assets without a maturity date. According to this definition, compute MZM using the information in the table above. Note: you need to review what each of the instruments above are in order to answer this question