Purchase Solution

Demand Deposits for Banks

Not what you're looking for?

Ask Custom Question

Banks rely heavily upon customers deposits as a source of funds. Demand deposits normally pay interest to the customer, who is entitled to withdraw at anytime without prior notice to the bank. Checking and NOW accounts are the most popular for of demand deposits for banks. Assume that Kennon Storeage has a checking account at Livingston Savings Bank. What type of account (asset, liability, owners equity, revenue, expense, drawing,) does the account balance of 15,600 represent from the viewpoint of (a) Kennon Storage, and (b) Livingston Savings bank?

please do not attach a file, my comp will not read it! Thanks

Purchase this Solution

Solution Summary

The demand deposit for banks is examined.The type of accounts for balances to represent the viewpoints are determined.

Solution Preview

a) What type of account does the account balance of 15,600 represent from the viewpoint of Kennon Storage: This would be an asset ...

Purchase this Solution


Free BrainMass Quizzes
Writing Business Plans

This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.

Income Streams

In our ever changing world, developing secondary income streams is becoming more important. This quiz provides a brief overview of income sources.

Business Ethics Awareness Strategy

This quiz is designed to assess your current ability for determining the characteristics of ethical behavior. It is essential that leaders, managers, and employees are able to distinguish between positive and negative ethical behavior. The quicker you assess a person's ethical tendency, the awareness empowers you to develop a strategy on how to interact with them.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Operations Management

This quiz tests a student's knowledge about Operations Management