Assuming That the listed intangible assets are not real, what is that ratio for
ID: 2814517 • Letter: A
Question
Assuming That the listed intangible assets are not real, what is that ratio for non-financial firms? (round your answer to four decimal places) Ratio of real total assets = 0.0098 Liabilities and Net Worth Assets $Billion %Total $Billion %Total Real assets Liabilities Equipment & intellectual property Real estate Inventories $6,200 10,166 17.7% 29,0% Bonds and mortgages Bank loans Other loans Trade debt Other $7.905 654 1,072 1,996 4.275 $15,902 22.6% 1.9% 3.1% 57% 12.2% 45.4% 2,203 6.3 Total real assets $18,569 53.1% Financial assets Total liablities Deposits and cash Marketable securities Trade and consumer credit Other $1,040 838 2.581 11.969 $16,428 $34,997 3.0% 2.4% 7.4% 34.2% 46.9% 100.0% 19,094 $34,997 54.6% 100.0% Total financial assets Net worth Total Note: Column sums may difler from total because of rounding error. Souroe: Flow of Funds Accouss of the United States, Board of Govermors of the Federal Reserve Syste m Jume 2014Explanation / Answer
Answer:
a) For Non- Financial Firms: Real Assets = $ 18,569 and Total Assets = $34,997
Ratio = 18,569 / 34,997 = 0.5306 or 53.06%
b) For Commercial Banks: Real Assets = $ 148.6 and Total Assets = $ 15,164.6
Ratio = 148.6 / 15,164.6 = 0.0098 or 0.9799 %
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