-The Above Table Gives the Initial Balance Sheet for Mega

question 403

Multiple Choice

-The above table gives the initial balance sheet for Mega Bank. Barney comes into the bank and deposits $50 of currency into his checking account. The desired reserve ratio is 3 percent. After Barney's deposit, but before any other actions occur, MegaBank will have unplanned reserves of

• A) $15.00.
• B) $33.00.
• C) $48.50.
• D) $50.00.

Analyze the flow of cash through the preparation of a cash budget.

Understand the financial impact of credit sales and cash collections on budgeting.

Calculate budgeted sales and understand their influence on other budget components.

Understand the concept of a budget sequence and its importance in financial planning.

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