Northern Bank: Balance Sheet
Assets Liabilities
Reserves $800 Deposits $10 000
Loans $11 200 Capital $2000
$12 000 $12 000
TABLE 26-6
-Refer to Table 26-6.Northern Bank extends credit to its customers in the form of household mortgages and lines of credit.Under which category of the balance sheet do these fall?

Question

Quizplus · Accepted Answer

Household mortgages and lines of credit are forms of loans, which fall under the category of assets on the balance sheet.