Examine the balance sheet of commercial banks in the following table. Real assets Assets Equipment and...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Examine the balance sheet of commercial banks in the following table. Real assets Assets Equipment and premises Other real estate Total real assets Financial assets Cash Investment securities Loans and leases other financial assets Total financial assets Other assets Intangible assets Other Total other assets Total 5 Billion % Total $ 146.2 68.9 $ 215.1 $ 896.3 8,032.1 6,747.3 1,221.2 $16,896.9 $ 426.4 800.7 $1,227.1 $18,339.1 0.8% 0.4 1.2% 4.9% 43.8 36.8 6.7 92.1% 2.3% 4.4 6.7% 100.0% Liabilities Deposits Debt and other borrowed funds Federal funds and repurchase agreements Other Liabilities and Net Worth Total liabilities Net worth Balance sheet of FDIC-Insured commercial banks and savings institutions adian niter 5 Billion $18,280.3 1,286.0 1,995.0 1,598.0 $15,160.3 $ 3,178.8 $18,339.1 Balance sheet of FDIC-Insured commercial banks and savings institutions Note: Column sums may differ from total because of rounding error. Source: Federal Deposit Insurance Corporation, www.fdic.gov, October 2018. a. What is the ratio of real assets to total assets? (Round your answer to 4 decimal places.) Ratio of real assets to total assets b. What is the ratio of real assets to total assets for nonfinancial firms in the following table? (Round your answer to 4 decimal places.) Assets Real assets Equipment and software Real estate Inventories 5 Billion & Totel $ 4,447 9,777 1,844 16.2% 35.7 6.7 Liabilities and Net Worth Liabilities Bonds and mortgages Bank loans Other loans s Billion $ 5,474 923 1,470 % Total 20.05 3.4 5:4 b. What is the ratio of real assets to total assets for nonfinancial firms in the following table? (Round your answer to 4 decimal places.) Assets Real assets Equipment and software Real estate Inventories Total real assets Financial assets Deposits and cash Marketable securities Trade and consumer credit Other Total financial assets: Total 5 Billion & Total $ 4,447 16.2% 9,777 35.7 1.844 6.7 $16,068 58.6% $ 732 1,221 2,392 8.7 6,993 25.5 $11,338 41.4% $27,406 100.0% 2.7% 4.5 Liabilities and Net Horth Liabilities Bonds and mortgages Bank loans Other loans Trade debt Other Balance sheet of U.S. nonfinancial corporations Note: Column sums may differ from total because of rounding error 20 Total liabilities Net worth Billion $ 5,474 923 1,470 1,870 4,828 $14,565 $27,406 Total 20.05 3.4 5.4 6.8 17.6 53.1% 100.0% Total real assets Financial assets Deposits and cash. Marketable securities Trade and consumer credit Other Total financial assets. Total $16,068 Ratio for nonfinancial firms 58.6% $ 732 2.7% 1,221 4.5 2,392 8.7 6,993 25.5 $11,338 41.4% $27,406 100.0% Trade debt Other Total liabilities Net worth 1,878 4,828 $14,565 $12,841 $27,406 6.8 17.6 53.1% 46.9% 100.0% Balance sheet of US. nonfinancial corporations Note: Column sums may differ from total because of rounding error. Source: Flow of Funds Accounts of the United States, Board of Governors of the Federal Reserve System, September 2018 Examine the balance sheet of commercial banks in the following table. Real assets Assets Equipment and premises Other real estate Total real assets Financial assets Cash Investment securities Loans and leases other financial assets Total financial assets Other assets Intangible assets Other Total other assets Total 5 Billion % Total $ 146.2 68.9 $ 215.1 $ 896.3 8,032.1 6,747.3 1,221.2 $16,896.9 $ 426.4 800.7 $1,227.1 $18,339.1 0.8% 0.4 1.2% 4.9% 43.8 36.8 6.7 92.1% 2.3% 4.4 6.7% 100.0% Liabilities Deposits Debt and other borrowed funds Federal funds and repurchase agreements Other Liabilities and Net Worth Total liabilities Net worth Balance sheet of FDIC-Insured commercial banks and savings institutions adian niter 5 Billion $18,280.3 1,286.0 1,995.0 1,598.0 $15,160.3 $ 3,178.8 $18,339.1 Balance sheet of FDIC-Insured commercial banks and savings institutions Note: Column sums may differ from total because of rounding error. Source: Federal Deposit Insurance Corporation, www.fdic.gov, October 2018. a. What is the ratio of real assets to total assets? (Round your answer to 4 decimal places.) Ratio of real assets to total assets b. What is the ratio of real assets to total assets for nonfinancial firms in the following table? (Round your answer to 4 decimal places.) Assets Real assets Equipment and software Real estate Inventories 5 Billion & Totel $ 4,447 9,777 1,844 16.2% 35.7 6.7 Liabilities and Net Worth Liabilities Bonds and mortgages Bank loans Other loans s Billion $ 5,474 923 1,470 % Total 20.05 3.4 5:4 b. What is the ratio of real assets to total assets for nonfinancial firms in the following table? (Round your answer to 4 decimal places.) Assets Real assets Equipment and software Real estate Inventories Total real assets Financial assets Deposits and cash Marketable securities Trade and consumer credit Other Total financial assets: Total 5 Billion & Total $ 4,447 16.2% 9,777 35.7 1.844 6.7 $16,068 58.6% $ 732 1,221 2,392 8.7 6,993 25.5 $11,338 41.4% $27,406 100.0% 2.7% 4.5 Liabilities and Net Horth Liabilities Bonds and mortgages Bank loans Other loans Trade debt Other Balance sheet of U.S. nonfinancial corporations Note: Column sums may differ from total because of rounding error 20 Total liabilities Net worth Billion $ 5,474 923 1,470 1,870 4,828 $14,565 $27,406 Total 20.05 3.4 5.4 6.8 17.6 53.1% 100.0% Total real assets Financial assets Deposits and cash. Marketable securities Trade and consumer credit Other Total financial assets. Total $16,068 Ratio for nonfinancial firms 58.6% $ 732 2.7% 1,221 4.5 2,392 8.7 6,993 25.5 $11,338 41.4% $27,406 100.0% Trade debt Other Total liabilities Net worth 1,878 4,828 $14,565 $12,841 $27,406 6.8 17.6 53.1% 46.9% 100.0% Balance sheet of US. nonfinancial corporations Note: Column sums may differ from total because of rounding error. Source: Flow of Funds Accounts of the United States, Board of Governors of the Federal Reserve System, September 2018
Expert Answer:
Answer rating: 100% (QA)
To answer the questions provided in the images we need to calculate the ratios of real assets to tot... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
What is the ratio of real assets to total assets? [Round your answer to 4 decimal places] Ratio of real assets to total assets I I b. What is the ratio of real assets to total assets for nonfinancial...
-
Examine the balance sheet of commercial banks in Table. What is the ratio of real assets to total assets? What is that ratio for nonfinancial firms (Table)? Why should this difference beexpected?...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
-
Consider the energy sector consisting of J firms where energy producers are characterized by their cost functions C j (x j ,e j ). The firms are subject to an emission trading system with a total...
-
Design a two-stage op-amp network that has a gain of 50,000 while drawing no current into its input terminal. Use no resistors smaller than 1k.
-
In a photocopy of Figure 4.1, find and label the following points: a. a point \(D\) such that \(Z\) and \(Y\) are Pareto preferred to \(D\) but \(S\) is not. b. a point \(E\) such that the arc \(B...
-
Lundholm Corp. is considering the purchase of a robotic machine that would replace a manual labor production task. The purchase and installation of this machine would require an upfront cash...
-
4) You operate a Caribbean destination resort. You currently offer plans for a cruise departing from the resort and plans for a casino stay. It is expected that in 2021 there will be some return to...
-
The claim stockholders have on a company's cash flow with outstanding debt can best be described as: O a call option on the firm's assets. O an interest-free bond with the same value as the firm's...
-
Let today be November 3, 2008. (a) Use the LIBOR rate and the swap data on November 3, 2008 in Table 11.26 and fit the LIBOR curve. (b) From the LIBOR discount curve, fit the Ho-Lee model of the...
-
13.1 Main program number: 01313 (Figure 13.14) Reference point (machine home) 250 DIA (18) HOLES THRU .500 1.000 .500 .500 1.000- + -.500 375
-
Identifying Financial Scenarios Provide brief descriptions of various financial situations without specifying the type of interest or investment. For example, a scenario might involve someone...
-
Given a vector x, construct in Python the following matrix: Here, xi are the components of the vector x (numbered from zero). Given a vector y, solve in Python the linear equation system Va = y. Let...
-
Costco Costco is one of the largest retail sales companies in the United States, and it has more than 500 stores in 37 states and eight countries. Despite low profit margins in the retailing...
-
1. In general, what is an option and what differentiate it from other types of financial securities? What are some examples of options commonly encountered in the world of investment and finance? 2....
-
Pick the best guest for the correlation 4. Consider the processes and In (y) at + oln (y-1) + nt = nt = nt-1 + Et The Stata .dta file called "HW5AR1" contains data for the variable t, the parameter...
-
Use f(x) = 2x - 12 to do the following: a) Find f(0). f(0) = b) Solve f(x) = 0. If there are multiple answers, separate them with a comma. c) Use your answers to write the resulting ordered pairs....
-
Discuss whether responsible human resources management should apply different standards for the home company and suppliers, for developed countries and developing countries, and for large companies...
-
a. The spot price of the British pound is currently $2.00. If the risk-free interest rate on 1-year government bonds is 4% in the United States and 6% in the United Kingdom, what must be the forward...
-
Which one of the following portfolios cannot lie on the efficient frontier as described byMarkowitz? Portfolio Expected Return (%) 15 12 Standard Deviation (%) 36 15 a. 9 21
-
Smith notes in her report that the West Winery might differentiate its wine product on attributes that buyers perceive to be important. Which of the following attributes would be the most likely area...
-
Show that any training set \(\tau=\left\{\left(\boldsymbol{x}, y_{i} ight), i=1, \ldots, n ight\}\) can be fitted via a tree with zero training loss.
-
For the breast cancer data in Section 7.8, investigate and discuss whether accuracy is the relevant metric to use or if other metrics discussed in Section 7.2 are more appropriate.
-
Repeat Exercise 16 with the original MNIST data set. Use the first 60,000 rows as the train set and the remaining 10,000 rows as the test set. The original data set can be obtained using the...
Study smarter with the SolutionInn App