Determine the probability distribution of net deposit


Response to the following problem:

The probability distribution of the net deposit drain of a DI has been estimated to have a mean of 2 percent and a standard deviation of 1 percent.

a. Is this DI increasing or decreasing in size? Explain

b. If a DI has a net deposit drain, what are the two ways it can offset this drain of funds? How do the two methods differ?

 

Solution Preview :

Prepared by a verified Expert
Financial Accounting: Determine the probability distribution of net deposit
Reference No:- TGS02098500

Now Priced at $20 (50% Discount)

Recommended (98%)

Rated (4.3/5)