(Answered) Finance EXTRA problem

"Assume that there are two banks in your area, Bank C and Bank NSC. Assume also that both are federally chartered banks, meaning that they are both subject to periodic examination and have their deposits insured by the FDIC. Also, assume that the deposit insurance coverage limit is $250,000. Both banks are sufficiently large to tend to any banking need that you may require. Assume, however, that you are not particularly interested in borrowing money in the near future.;Bank C is a very conservatively managed bank. It never has to borrow from the Fed's discount window or go into the Fed Funds market to borrow. It regularly holds excess reserves. It is also a friendly bank and provides very good and efficient service, but does everything ""by the book."" Bank NSC, on the other hand, is not so conservative. In fact, in its mission statement, it indicates its goal of being the largest commercial lending institution in the state. It has experienced very rapid growth in the last three years. Loan officers in this bank are fun guys?they don't even own a tie, much less a vest. If you want to borrow money from them, they can and will move much more rapidly than Bank C?again, they are not so hung up on details.;A. Assume that you have $200,000 that you must place in one of the banks. Which bank would you choose, and why?;B. Now, take the same set of givens as above, but assume that there is no deposit insurance. Again, everything is the same, except for the absence of deposit insurance. Now, in which bank would you deposit your $200,000? Explain!;C. Now, considering the A and B scenarios, and also having read some material from our trusty text, what is the moral to the story? Explain!;Attachments;Finance EXTRA.docx"
More Details:

Finance EXTRA problem

 


Solution details:
STATUS
Answered
QUALITY
Approved
ANSWER RATING

This question was answered on: Dec 18, 2020

PRICE: $15

Solution~00031147633904.zip (25.37 KB)

Buy this answer for only: $15

This attachment is locked

We have a ready expert answer for this paper which you can use for in-depth understanding, research editing or paraphrasing. You can buy it or order for a fresh, original and plagiarism-free solution (Deadline assured. Flexible pricing. TurnItIn Report provided)

Pay using PayPal (No PayPal account Required) or your credit card . All your purchases are securely protected by .
SiteLock

About this Question

STATUS

Answered

QUALITY

Approved

DATE ANSWERED

Dec 18, 2020

EXPERT

Tutor

ANSWER RATING

GET INSTANT HELP

We have top-notch tutors who can do your essay/homework for you at a reasonable cost and then you can simply use that essay as a template to build your own arguments.

You can also use these solutions:

  • As a reference for in-depth understanding of the subject.
  • As a source of ideas / reasoning for your own research (if properly referenced)
  • For editing and paraphrasing (check your institution's definition of plagiarism and recommended paraphrase).
This we believe is a better way of understanding a problem and makes use of the efficiency of time of the student.

Order-Now