A bank has $400 million in checkable deposits,$700 million in savings deposits ; $400 million in small
time deposits, $900 million in loans to Businesses, $550 million in government securities, $20 million in
currency and $30 million in its reserve account at the Fed.
1) Set up the balance sheet of the bank .
2) What are the bank’s loans, securities and reserves .
3) calculate both the reserve requirement ratio and the desired requirement ratio .
4) calculate money multiplier assuming that there is no currency drain .
5) How much money will be created through the banking system?    

Please with all the explanations and with a table/

Your bank has the following balance sheet:
Assets Liabilities

Reserves $ 50 million Checkable deposits $200 million
Securities 50 million
Loans 150 million Bank capital 50 million

If the required reserve ratio is 10%, what actions should the bank manager take if there is an unexpected deposit outflow of $50 million?

1) Which of the following actions on the part of the Fed will result in a decrease in the money supply?

2) Suppose the reserve requirement is 25% and there are no cash holdings by the public. A $1 billion purchase of government securities by the Federal Reserve will:

3) If the Fed decreases the reserve requirement, financial institutions will likely lend out ______________ than before, __________________ the money supply.