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Answer the Question on the Basis of the Following Consolidated

question 85

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Answer the question on the basis of the following consolidated balance sheet for the commercial banking system.Assume the required reserve ratio is 10 percent.All figures are in billions.  Assets Reserves Securities Loans Property$3013070200 Liabilities & Net Worth  Checkable Deposits Stock Shares$300130\begin{array}{c}\begin{array}{lll}\quad\quad\quad\underline{\text { Assets}}\\\text { Reserves}\\\text { Securities}\\\text { Loans}\\\text { Property} \end{array}\begin{array}{l}\\\$30\\130 \\70\\200\end{array}\begin{array}{lll}\quad\quad \underline{\text { Liabilities \& Net Worth }}\\\text { Checkable Deposits}\\\text { Stock Shares}\\\\\\\end{array}\begin{array}{lll}\\\$300\\130\\\\\\\end{array}\end{array}





Refer to the data.The commercial banking system has excess reserves of:

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Definitions:

Domestic Products

Goods and services that are produced within a country's borders and are intended for consumption in the same country.

Foreign Market

A market outside the company's home country where it conducts business activities or sells products.

Adaptations

Modifications or adjustments made to a product, strategy, or approach to better fit a specific market or set of requirements.

Subsidiary Control

The influence and regulatory mechanisms wielded by a parent company over its subsidiaries' operations and policies.

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