\begin{tabular}{|c|lr|l|rr|} \hline \multicolumn{5}{|c|}{ Balance Sheet t=4; End of Round 5} \\ \hline \multicolumn{4}{|c|}{ Assets }...

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\begin{tabular}{|c|lr|l|rr|} \hline \multicolumn{5}{|c|}{ Balance Sheet t=4; End of Round 5} \\ \hline \multicolumn{4}{|c|}{ Assets } & \multicolumn{2}{|c|}{ Liabilities \& Equity } \\ \hline Cash & $386,801.21 & Deposits & $3,993,995.00 \\ \hline Securities & $ & 899,169.20 & Borrowed & $1,996996.00 \\ \hline Lending & & & Euro Deposit & $ & 975,000.00 \\ \hline Cons. Loans* & $1,490,991.00 & Euro Borrowing & $ & 975,000.00 \\ \hline Residential Mortgage & $3,000,000.00 & Total Liabilities & $7940,991.00 \\ \hline C\&I & $1,500,000.00 & Comm Stock & $ & 22242.31 \\ \hline Euro C\&I & $1,950,000.00 & Ret Earnings & $ & 1,283,728.09 \\ \hline Total Lending & $7,940,991.00 & Total Equity & $ & 1,285,970.40 \\ \hline & & & & \\ \hline Total Assets & $9,226,961.40 & Total L\&E & $9,226,961.40 \\ \hline \end{tabular} \begin{tabular}{|l|lr|} \hline \multicolumn{3}{|c|}{ Balance Sheet: End of Round 4 } \\ \hline Total Equity & $ & 1,132,276.17 \\ \hline Consumer Loans & $ & 1,490,991.00 \\ \hline Residential Loans & $ & 3,000,000.00 \\ \hline Euro Denominated C\&I Loans (in U.S\$) & $ & 1,950,000.00 \\ \hline C\&I & $ & 1,500,000.00 \\ \hline Tier 1 Capital -Equity/(Total Loans) & & 14.259% \\ \hline \end{tabular} 5. Loan Loss Allowance to Loans. Hint: this has a numerator and denominator. The numerator is calculated as follows: Consumer Loan Balance (from above) 4% plus the Residential Mortgage Balance (from above) 2% plus the C\&I Loan Balance (from above) 1%. Assume euro-denominated C\&I loans have the same provision as domestic C\& I loans. The denominator is Consumer Loan Balance (from above) plus the Residential Mortgage Balance (from above) plus the C\&I Loan Balance (from above) plus euro-denominated C& I loans. The ratio tells you how many dollars of your loans are expected to go bad. If it is 100%, trouble awaits. 6. Net Interest Margin. Hint: This is Net Interest Income divided by Total Assets. 7. Return on Assets (see the text Ch.12) 8. Return on Equity (see the text Ch,12 ) 9. Reflecting on Chapter 20, why does the Fed have to be concemed with money growth even though their main focus seems to be on interest rates ( 60 words)

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