Consider a situation where an individual sold a car for $20,000 and then deposited the $20,000 he received into his checking account at the bank. With that information, answer the questions that follow.
-If the required reserve ratio is 25%,write out the bank's balance sheet at the initial moment of the deposit and include the entries for required reserves,excess reserves,and deposits.

Question

Quizplus · Accepted Answer

The Answer of Consider a situation where an individual sold a car for $20,000 and then deposited the $20,000 he received into his checking account at the bank. With that information, answer the questions that follow.
-If the required reserve ratio is 25%,write out the bank's balance sheet at the initial moment of the deposit and include the entries for required reserves,excess reserves,and deposits.

Consider a Situation Where an Individual Sold a Car for $20,000