The missing items in the balance sheet and statement of earnings and expenses of a bank are: Total assets are $125 consisting of cash of $12, investments of $5, federal funds sold of $8, net loans of $94, premises and fixed assets of $2 and miscellaneous assets of $4. Total liabilities are $125 consisting of demand deposits of $14, savings deposits of $25, time deposits of $70 and non-deposit borrowings of $10. Stockholder's equity is $6. Total revenues are $23 consisting of domestic loan interest of $11, foreign loan interest of $5, income from security investments of $6 and miscellaneous revenue of $1.

1. See if you can fill in correctly the missing items from the balance sheet (report of
condition) and the statement of earnings and expenses (report of income) of the
bank whose financial accounts are listed here: Balance Sheet Statement of Earnings and
Expenses Cash and interbank deposits Revenue sources: Domestie loan interest and fees Federal
funds sold Loans, gross Allowance for loan losses Unearned discount on loans Foreign loan
interest and fees Income from security investments Miscellaneous revenues Total revenues 87
Net loans Premises and fixed assets Miscellaneous assets Total assets Demand deposits Savings
deposits Time deposits Interest on deposits Interest on nondeposit borrowings Salaries and wages
Occupaney costs Provision for loan losses $125 Total liabilities Total expenses 20 Stockholder's
equity capital Net operating income Income taxes Net income (or loss) after taxes
Solution
Domestic loan 11 Foreign loan 5 Income from sec investment 6 Misc Revenue 1 Total
Revenue 23 Expenses Interesrt on deposits 8 Interesrt on nondeposits 2 Salaries and
wages 4 Occupancy costs 1 Provision for loan 2 Misc Exp 3 Total Exp 20 Net operating
income =TR-TE 3 Less :Income Taxes 1 Net Income after taxes 2 Cash 12
Investment 5 Total Assets-Sum of remaining assets Federal funds sold 8 Loans , gross 87
Allowance for losses -6 Unearned Discount on loans -1 Net loans 94 GrossLoans-
Allowances Premise and fixed assets 2 Misc Assets 4 Total Asset 125 Demand deposit
14 Total Liabilities-Sum of liabilities Saving deposit 25 Time deposit 70 Non deposit
borrowings 10 Stockholder equity capital 6 Total Liabilities 125 Assets=Liablities