2) Calgary Finance Bank has the following balance sheet: Liabilities Chequable Deposits Capital Assets Reserves Loans $100 $1000 $1000 $100 Assume there is no excess reserve. One day Jack luckily finds a bill of $20 underneath his mattress and he deposits it into this bank. a) Describe how this deposit may affect Calgary Finance Bank's balance sheet. b) What willI be the excess reserve now? c) To keep reserve ratio at target level, what would this bank do? How would the action affect its balance sheet? d) if all commercial banks have the same target reserve ratio as this bank, and there is no cash drain, what will be the change in total deposits for the whole banking system after the process of money creation is completed?

Consider a failing bank. How much is a deposit of $300,000 if the CDIC uses the payoff method? The purchase-and-assumption method? Which method is more costly to taxpayers? Using the payoff method, the $300,000 deposit is worth $ (Round to the nearest dollar) Using the purchase-and-assumption method, a deposit of $300,000 is worth $ (Round to the nearest dollar) Which method is more costly to taxpayers? Select the best answer: A. The payoff method is more costly, since taxpayers will only pay $0.10 on the dollar. B. The purchase and assumption method is more costly, because depositors receive the full value of their deposits. C. The purchase and assumption method is more costly, because depositors will refuse to keep account balances in excess of $100,000 in a single bank. D. The payoff method is more costly, since the cost to insure the fund will be lower.

3. You make a deposit of $100 in year 1, $200 in year 3, $500 in year 7. Interest rate is 6%. How much will be accumulated in your account in year 12.   Please do not use excel. Include cashflow diagram if possible.

If balance in the bank statement shows $3000 Dr and there are deposits of $800 not yet credited and unpresented cheques totalling to $500, the balance in the cashbook should be   Question 2 options:   2700   3300   1700   4300