finance major E:2

1) As the executives of a bank or thrift institutions, you are faced with an intense seasonal demand for loans. Assuming that your loanable funds are inadequate to take care of the demand, how might your reserve bank help you with this problem?

2) Assume that Banc one receivers a primary deposit of 1$ million the bank must keep reserves of 20 percent against its deposits prepare a simple balance sheet of assets and liablitlites for Banc one immediately after the deposit is recieved.

3)Assume a finanicial system has a monrtary base (MB) of $25 million. The required reserves ratio is 10 percent and no leakage are in the system