Business, 18.04.2021 01:40 stephanieboyd

The average daily net transaction accounts balance of a local bank during the most recent reserve computation period is $325 million. The amount of average daily reserves at the Fed during the reserve maintenance period is $22.6 million and the average daily vault cash corresponding to the computation period is $4.3 million. 1. What is the average daily reserve balance required to be held by the bank during the maintenance period?
2. Is the bank in compliance with the reserve requirements?
3. What amount of reserves can be carried over to the next maintenance period either as excess or as shortfall?
4. If the local bank has an opportunity cost of 6 percent and deposits at the Fed pay 0.5 percent, what is the effect on the income statement from this reserve period?

Answers: 1

Show answers

Other questions on the subject: Business

Business, 21.06.2019 21:20, khalilh1206

Vital industries manufactured 2 comma 200 units of its product huge in the month of april. it incurred a total cost of $ 121 comma 000 during the month. out of this $ 121 comma 000, $ 46 comma 000 comprised of direct materials used in the product and the rest was incurred because of the conversion cost involved in the process. ryan had no opening or closing inventory. what will be the total cost per unit of the product, assuming conversion costs contained $ 10 comma 900 of indirect labor?

Answers: 1

continue

Business, 22.06.2019 08:20, ethannila

Which change is illustrated by the shift taking place on this graph? a decrease in supply an increase in supply o an increase in demand o a decrease in demand

Answers: 3

continue

Business, 22.06.2019 10:20, jjimenez0276

Asmartphone manufacturing company uses social media to achieve different business objectives. match each social media activity of the company to the objective it the company achieve.

Answers: 2

continue

Business, 22.06.2019 21:50, reggiegilbert1995

Varto company has 9,400 units of its sole product in inventory that it produced last year at a cost of $23 each. this year’s model is superior to last year’s, and the 9,400 units cannot be sold at last year’s regular selling price of $42 each. varto has two alternatives for these items: (1) they can be sold to a wholesaler for $8 each, or (2) they can be reworked at a cost of $251,100 and then sold for $34 each. prepare an analysis to determine whether varto should sell the products as is or rework them and then sell them.

Answers: 2

continue

You know the right answer?

The average daily net transaction accounts balance of a local bank during the most recent reserve co...