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Question
First National Bank has new loan requests of $175 million, needs to purchase $50 million in U.S. Treasury securities to meet pledging requirements, and anticipates draws against credit lines of $45 million. Deposits received today total $140 million and the bank expects to bring in an additional $230 million next week. What is First National's estimated funds gap for the coming week?
A. $225 million.
B. -$145 million.
C. $135 million.
D. -$100 million.
E. None of the options is correct.
Answer
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