Assume the T-account to the Assets Liabilities & Equities
right exists prior to any of the Cash $25,000 $100,000 Checkable Deposits
following transactions and that Bonds 35,000
the required reserve ratio is 20%. Loans 40,000
A customer withdraws $5,000 from her checking account, the Fed purchases $15,000 of bonds from the bank, and
the bank makes a $10,000 loan to a customer. Immediately following these transactions, checkable deposits are
______, cash is ______, bonds are ______, and loans are ______.