1.Define and explain, using an example, the following terms: Barter System and Double Coincidence of wants. 2. The Bank of Your Class has the following balance sheet Assets Liabilities Cash (reserves) $4,000 Deposits $100,000 Deposited at the Fed $5,000 Loans $91,000 Total $100,000 $100,000 The required reserve ratio on all deposits is 5% a What, if any, are the bank's excess reserves? Loans: 91,000 Ratio: 91,000/100,000-9196 left over after loans-9% ER.. 496 ($4,000) b. How much new amount of loan will this bank be able to create? $1,000 c. How much new amount of loan will the entire banking system (all bank) be able to create? 1/0.05 X 1,000 d Answer part a, b, and C if the required reserve ratio is increased to 8%