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1 1) Suppose Josiah Brisson deposits \$3,500 cash in the Humongous National Bank. Suppose, the required reserve ratio in this economy is 12%. a) Fill...
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# I need attached question to be answered for macroeconomics. It has several parts to it.

1 1) Suppose Josiah Brisson deposits \$3,500 cash in the Humongous National Bank . Suppose, the required reserve ratio in this economy is 12%. a) Fill out the blanks in the Humongous National Bank’s T- account to refect this transaction. Show your calculations! Assume that Humongous National did not have any previous deposits. Answer : (4 points) Humongous National’s T- account: Assets Liabilities__ TR= D = RR = ER = b) As a result of this transaction, what is the maximum amount (in \$) that Humongous National can loan out? Answer : (3 points) c) Now, suppose that Humongous National loans the amount that you found in part b) to Camilla Clodel. Fill out the blanks in the Humongous National Bank’s T- account to refect this transaction. Show your calculations! Answer : (4 points) Humongous National’s T- account: Assets Liabilities__ TR= D = RR = ER =
2 d) As a result of this transaction, can Humongous National continue loaning out money using Josiah’s initial deposit of \$3,500? Answer : ( circle the correct answer ) (3 points) YES NO e) Now, suppose that Camilla Clodel deposits the loan that Humongous National gave her in the Financial National Bank. The required reserve ratio in this economy is still 12%. Assume that Financial National did not have any previous deposits. Fill out the blanks in the Financial National Bank’s T-account to re±ect this transaction. Show your calculations! Answer : (4 points) Financial National’s T- account: Assets Liabilities__ TR= D = RR = ER = f) As a result of this transaction, what is the maximum amount (in \$) that Financial National can loan out? Answer : (3 points) g) Now, suppose that Financial National loans \$1,500 to Camilla Clodel. Fill out the blanks in the Financial National Bank’s T-account to re±ect this transaction. Show your calculations! Answer : (4 points) Financial National’s T- account: Assets Liabilities__
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