1.what is the major responsibility of the Board of governors and the Federal Open Market Committee?
2.in what form does a bank hold its required reserves? Assume the Fed had a 20 percent required reserve ratio. What amount of checkable deposits can be supported by $10 million in required reserves?
3.suppose you remove 1000 from under your mattress and deposit in the bank. Using a balance sheet, show the impact of your deposit on the banks assets and liabilities. If th requiried reserve ratio is 10 percent, what is the maximum amount the bank can loan from this deposit?
4.Suppose the federal reserves trading desk buys $500,000 in T-Bills from a securities dealer who then depositis the fed's check in Best NAtional Bank. Use a balance sheet to show the requiried reserve ratio is 10 percent. What is the maximum increase in the money supply that can result from this open market transaction?
5.suppose the national bank of commerce has excess reserves of 8,000 and outstanding checkable deposits of 150,000. If the reserve ratio is 20 percent, what is the size of the bank's actual reserves?
2.in what form does a bank hold its required reserves? Assume the Fed had a 20 percent required reserve ratio. What amount of checkable deposits can be supported by $10 million in required reserves?
3.suppose you remove 1000 from under your mattress and deposit in the bank. Using a balance sheet, show the impact of your deposit on the banks assets and liabilities. If th requiried reserve ratio is 10 percent, what is the maximum amount the bank can loan from this deposit?
4.Suppose the federal reserves trading desk buys $500,000 in T-Bills from a securities dealer who then depositis the fed's check in Best NAtional Bank. Use a balance sheet to show the requiried reserve ratio is 10 percent. What is the maximum increase in the money supply that can result from this open market transaction?
5.suppose the national bank of commerce has excess reserves of 8,000 and outstanding checkable deposits of 150,000. If the reserve ratio is 20 percent, what is the size of the bank's actual reserves?