A bank holding only deposits of $800 and loans of $1000 would have a net worth of

Name: A bank holding only deposits of $800 and loans of $1000 would have a net worth of
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Question

Quizplus · Accepted Answer

The bank's net worth is the difference between its assets and liabilities. The bank's assets are its loans, which are worth $1000. The bank's liabilities are its deposits, which are worth $800. Therefore, the bank's net worth is $1000 - $800 = $200.

A Bank Holding Only Deposits of $800 and Loans of $1000