austindefender

Criminal defense in Austin Texas.

Banking for Dummies

| February 14, 2009

Banks are run according to the following simple equation: Assets (including reserves) = liabilities + equity. Assets are anything that has value.  In the case of banks, it’s mainly the money they’ve lent out, plus the interest they hope to collect on it.  It also includes reserves, the bit of cash they keep on hand […]