A bank’s assets are $400 million and its liabilities are $30…

A bank’s assets are $400 million and its liabilities are $300 million, which means that the bank’s net worth (bank capital) is ____________________.  If the bank’s assets rise by 8% at the same time that its liabilities rise by 5%, the bank’s new net worth will then be _______________.

Exhibit 6-2 Year Civilian  Noninstitutional Population…

Exhibit 6-2 Year Civilian  Noninstitutional Population (millions) Civilian Labor Force (millions) Employed Persons (millions) 1 250 200 175 2 400 300 200 3 500 400 350 4 1000 800 720 Refer to Exhibit 6-2. The unemployment rate in year 1 is